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Life Science Alliances and Mergers & Aquisitions

The main indicators of customer relationships in the life sciences are alliances, mergers & acquisitins, clinical / field trials and regulatory approvals.

Alliances

Victorian biotechnology firms are active in forming alliances with the international marketplace. Licensing remains a favored way to commercialise technology from research institutes and is also a part of many inter-company alliances.

In recent times, alliances between Australian biotechnology / medical device frims and others continued to focus on collaborative research with US and European organisations and sales / distribution relationships with Asia. Most companies announced by companies in the life sciences were with organisations that were based overeseas.

There is relatively little information about the size of the deals, with many of the terms remaining confidential.

Major alliances include:

Listed Australian bio-nanotech company, pSivida, signed a multi-million dollar deal with pharma giant Pfizer in April 2007. The exclusive worldwide Collaborative Research and License agreement covers pSivida's controlled drug delivery technologies for opthalmic indications and allows up to US$155 million (AU$180million) in development and sales related milestones.

In 2007, listed Australian biotech Biota Holdings Ltd, entered into a worldwide research collaboration and licensing deal worth up to US$102 million including clinical, regulatory and commercialisation milstone payments, with internationall pharma company Boehringer Ingelheim. Boehringer will develop and commercialise Biota's nucleoside analogues designed for the treatment of hepatitis C and potentially other diseases.

In January 2007, Australian listed biotech Avexa in-licensed additional rights to an investigational HIV compound, SPD754, or apricitabine, from Shire plc. In 2005 ,the company acquired the worldwide rights (exlcuding North America) for the compound fro mShire, but with the latest acquisition the compnay has full responsibility to develop and commericalise apricitabine throughout the world. The North American rights to the compound were acquried by Avexa for US$10million, plus development and sales related milestones and royalties.

Mergers & Acquisitions

Some of the life science mergers & acquisitions (M&A) announced during the last few years include:

  • Agenix / SHRG ($16.5million)
  • Sonic Healthcare (Acquisitions totalling $822million)
  • IBA Health / iSoft ($410.7million)
  • Lipa Pharmaceuticals / Apil Healthcare ($144million)
  • Colocare Holdings / Continence Control Systems ($NA)
  • Arana / Cephalon