Pfizer announced this week that following a successful completion of its $68-billion acquisition of Wyeth, it will divide its research activities into two separate organizations, one for small molecules and one for biologics and vaccines. The reorganization is but a microcosm of Big Pharma’s larger strategic interest to strengthen its position in biologics with the hopes of improving its return on research and development (R&D). But is the calculus of intensifying R&D into biologics correct? Read more »

Eli Lilly & Co. (Indianapolis) CEO John Lechleiter earlier this week told the Financial Times that he is not interested in becoming part of the recent mega-merger trend (see Pfizer+Wyeth, Merck+Schering-Plough and Roche+Genentech). Rumors and speculation have had some thinking Lilly+Bristol-Myers Squibb (BMS) would be the next big thing, but Lechleiter specifically ended rumors of that combination and remained critical of Big Pharma’s recent big deals. Read more »

Pfizer’s pending $68-billion merger with Wyeth has raised the question on possible suitors in another merger among the pharmaceutical majors. A recent article in the New York Times gained the input of Wall Street analysts, who speculate that Merck, Sanofi-Aventis, and Johnson & Johnson may be next in line to seek acquisitions among their Big Pharma brethen or in select biotechnology companies. Read more »

ImClone and Eli Lilly announced Monday that Lilly offered to buy the company for $6.5 billion. Lilly turned out to be the $70-per-share mystery suitor, as was rumored last week. The acquisition will strengthen Lilly’s oncology portfolio, which includes “Gemzar” and “Alimta,” and now, ImClone’s “Erbitux.” Read more »

When it rejected both of Bristol-Myers Squibb’s bids of $60, then $62 per share, ImClone said it had been approached by “a large pharmaceutical company” offering $70 per share, or $6.1 billion, subject to due diligence. Some wondered whether this was a bluff. Now, it seems the mystery suitor may be closer to owning the New York-based biotech company. Read more »

Last week’s post highlighted pharma deals that haven’t been working out due to rejected bids and stalled negotiations. On a more positive note, the past several months have also seen some successful acquisitions. This past week produced updates to some of Big Pharma’s pending pacts. Read more »

The past several months have seen many successful merger and acquisition announcements come and go, but for some companies, this has hardly been a summer of love. Several of Big Pharma’s big offers have been rejected, and some of these stories are still playing out. Only time will tell what the future holds for these proposed deals and sometimes troubled partnerships. Read more »