Will Roche Spin Genentech Off Again?

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:

Source: Building Biotechnology

So, before you write-off Genentech, consider that Roche may simply decide to flip them again.

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  1. na
      April 15, 2009

    I work for roche I can tell you this for a fact. Roche will not spin off genetech. We have far too much to gain. It is all part of a shift in corperate policy.

  2. joe
      May 6, 2009

    You dont know what your talking about