Does Roche’s recent acquisition of Genentech mean the end of the big-biotech business model? Has Genentech lost it’s independence? Not so, if history decides to repeat itself.
Roche has already bought (and sold) Genentech once before. It’s not unimaginable to think that they’re using the current economic crisis to do another value-based flip. Using an excerpt from Building Biotechnology to illustrate, Roche pocketed several billion dollars when it bought and sold Genentech in 1999:
So, before you write-off Genentech, consider that Roche may simply decide to flip them again.
I’ll be giving a talk at the Johns Hopkins Carey Business School Entrepreneurship Conference on March 21st titled “Entrepreneurship: What Not to Do.” The talk will cover cases in failed entrepreneurship in biotechnology, elucidating some of the forseeable and unforseeable factors which can lead to failure.
Hope to see some readers there. If you can’t make it, you may want to check out “Beyond the Business Plan” or Building Biotechnology, on which this latest talk is based.
The April 2009 issue of the Journal of Commercial Biotechnology is now available. This special issue on education was guest-edited by Arlen Meyers.
The links below will take you to the abstract for each paper:
Volume 15, Issue 2
Courtesy of DrugPatentWatch.com:
Drug Patent Expirations in March 2009
*Drugs may be covered by multiple patents