The buzz from day one of the J.P. Morgan Healthcare Conference in San Francisco earlier this week was the announcement on Sunday night by Roche that it was acquiring a majority interest in Foundation Medicine (NASDAQ: [[ticker:FMI]]) for a bit more than $1 billion in cash, which translates into $50 a share. Those were just … Continue reading “It Had to be You: Why Roche Was The Lone Suitor For Foundation”
Author: Steve Dickman
Steve Dickman is CEO of CBT Advisors, a life sciences consulting firm in Cambridge, Massachusetts. CBT Advisors works on product positioning and corporate strategy; communications and fund-raising materials; and market analysis based on research and expert interviews. Clients include public and private pharma and biotech companies as well as life science venture funds.
Mr. Dickman publishes an industry blog, Boston Biotech Watch, that tracks industry, VC and technology trends.
Before founding CBT Advisors in 2003, Mr. Dickman spent four years in venture capital with TVM Capital. There, Mr. Dickman’s deals included Sirna Therapeutics, sold to Merck in 2006 for $1.1 billion. Earlier, he was a Knight Science Journalism Fellow at MIT, a freelance contributor to The Economist, Discover, Science, GEO and Die Zeit and the founding bureau chief for Nature in Munich, Germany. Fluent in German, Mr. Dickman received his biochemistry degree cum laude from Princeton University.
Stealth Mode is the New Sweet Spot for Some Biotechs
This post was co-authored by Sultan Meghji. In biotech’s early days, telling a story to a wide audience used to be part of the path to success. Founders would share a compelling early narrative to potential investors, reporters, and just about anyone else who would listen. Nature papers were the coin of the realm. But … Continue reading “Stealth Mode is the New Sweet Spot for Some Biotechs”
Futuristic “Human-on-Chip” Models Will Help Drug Development
The pharmaceutical industry needs better scientific models for testing drugs before they get to the proving ground of human clinical trials. Current lab dish models and animal testing models are time-consuming, expensive and chronically unable to predict which drugs are going to work in clinical trials. The industry is crying out for new modes of … Continue reading “Futuristic “Human-on-Chip” Models Will Help Drug Development”
Foundation’s IPO Isn’t Bubbly, It’s a Jolt for Genomic Diagnostics
Foundation Medicine, the Cambridge, MA-based cancer diagnostic company, reminded me of the 2000 genomics bubble when it went public this week. The company sold its IPO shares at $18, and the stock (NASDAQ: [[ticker:FMI]]) almost doubled in its first day of trading, closing at $35.35, a 96 percent increase off an already bumped-up IPO price. … Continue reading “Foundation’s IPO Isn’t Bubbly, It’s a Jolt for Genomic Diagnostics”
Biotech VCs, Stung by Startup Returns, Elbow into Royalty Financing
The new landscape for venture capital investing does not seem to leave much room for classic company formation. Investor after investor has shut down or moved beyond startups into what seem like greener pastures. So it should come as no surprise that at least a few VC firms are now expanding into the royalty space, … Continue reading “Biotech VCs, Stung by Startup Returns, Elbow into Royalty Financing”
Why Deborah Dunsire’s Unusual Bet on Alzheimer’s Makes Sense
Just because a biotech company has landed a high-profile chief executive, does that mean its product is going to work? I’ve been asking myself that question in the wake of the unexpected July 11 announcement of the hiring of a biotech superstar, the Novartis veteran and former Millennium Pharmaceuticals CEO Deborah Dunsire, by Boston-area biotech … Continue reading “Why Deborah Dunsire’s Unusual Bet on Alzheimer’s Makes Sense”
Shedding Baggage, Alnylam Turns a Corner
What convinces investors that a drug discovery company is likely to bring products to the market, and rewards to shareholders? It comes down to just a few things: Proprietary biology. Confident management. Experience driving products into clinical trials and onto the market. Enough of a story to be able to raise money. And the likelihood, … Continue reading “Shedding Baggage, Alnylam Turns a Corner”
Genomes-R-Us: Is BGI now Complete?
The sad endgame in the acquisition of Complete Genomics (NASDAQ: [[ticker:GNOM]]) came last week: having failed to create a sustainable business, CGI was put up for sale in June of this year, culminating in a takeover by sequencing powerhouse BGI for $117.6 million in cash plus $30 million in bridge financing. Behind that headline is … Continue reading “Genomes-R-Us: Is BGI now Complete?”
Biogen Idec Lets Stromedix Do The Hard Part
For anyone wondering about the value that can be added by entrepreneurs and venture capitalists to the drug discovery and development process, look no further than Stromedix. This venture-backed company in Cambridge, MA, was acquired today by Biogen Idec for $75 million up-front and up to $487.5 million based on the achievement of certain development … Continue reading “Biogen Idec Lets Stromedix Do The Hard Part”
Big Pharma Attempts to Extend Own Lifespan by Activating Sirtuins
Can drugs that supposedly “activate” a controversial target—sirtuin proteins—stop or even reverse the aging process? A new report this week said “No.” According to this report, published Wednesday night in Nature, sirtuin activators do not extend lifespan in roundworms and flies and earlier studies that said they did were flawed. Nonetheless, GlaxoSmithKline (GSK) continues to … Continue reading “Big Pharma Attempts to Extend Own Lifespan by Activating Sirtuins”
How Google+ Could Transform Healthcare & Medicine
This post was co-authored by Rich Whalley, an associate at CBT Advisors. What could Google do if it had access to everyone’s health data? You’re probably already thinking a few things: 1. There’s no way I’m giving Google my personal health data. 2. Didn’t Google already try to do this with Google Health? 3. Won’t this … Continue reading “How Google+ Could Transform Healthcare & Medicine”
How Sanofi Could Start Off on the Right Foot in Cambridge
To: Chris Viehbacher, CEO, Sanofi Aventis From: The Boston Biotech Community Re: Making the Most of the Impending Merger Dear Mr. Viehbacher, In the heat of the discussions regarding an acquisition of Genzyme that now look like they are on track for rapid completion, you may not have had much time to think about exactly … Continue reading “How Sanofi Could Start Off on the Right Foot in Cambridge”