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On the hunt with the "pharmaceutical scouts"

  • The WSJ profiles "pharmaceutical scouts," who, like talent-spotters in baseball "trying to pick tomorrow's big-leaguers from farm teams," search outside their companies to find drug candidates that have the potential to become blockbusters.
  • In 2011, for instance, Johnson & Johnson's (JNJ) Peter Lebowitz helped his company beat competitors such as Novartis (NVS) to buy the rights to a blood-cancer drug from Pharmacyclics (PCYC) called Imbruvica.
  • The treatment was eventually approved in November for a rare lymphoma and for chronic lymphocytic leukemia in February.  J.P. Morgan forecasts Imbruvica will generate $1.3B in revenue for J&J in 2017.
  • Half of J&J's drug pipeline is from outside the company, up from 20% in 2002.
  • Other related tickers: MRK, RHHBY, BMY, SNY, CELG, GSK
Comments (1)
  • heffera
    , contributor
    Comments (6) | Send Message
     
    With Celgene's investments in multiple small biotechs, you can regard Celgene as an ETF or Mutual Fund of early stage biotech companies. Investments in Angios, Epizyme, and others are setting up for potential participation in future high-gain investment.
    10 Mar, 10:20 AM Reply Like
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