Deals

1 + 1 = 2nd Biggest Pharma in Japan

Yamanouchi Pharmaceutical announced it will buy Fujisawa Pharmaceutical in a $7.76 billion deal that will create Japan's number two drug company. The deal - expected to be completed in April 2005 - will bring together Yamanouchi's ulcer and urinary treatments with Fujisawa's immunotherapies. The resulting company will have a sales force of 2,400 and little overlap in product lines.

Borean + Proteopharma = Clearing the Way for Drug Development

Borean Pharma announced the acquisition of Proteopharma, which has patents for a protein product that may reduce arterial cholesterol plaque and prevent blood clots. Borean Pharma already holds patents for the technology used to create the protein and now expects to move the drug into clinical trials in the near future. Both companies are based in Denmark.

Bioxel Pharma + Cell Therapeutics = Fast Track to New Cancer Drug

Bioxel Pharma entered into an agreement to sell at least CAN $1.2 million worth of paclitaxel to Cell Therapeutics, Inc. (CTI). CTI's XYOTAX, a paclitaxel-based treatment for non-small cell lung cancer, is in phase 3 trials and received fast-track designation from FDA. Bioxel also supplies paclitaxel for production of the anticancer agent Taxol.

Diversa + Fermic = Enzyme Exclusivity

Diversa announced that Fermic will provide its enzyme manufacturing capacity exclusively to Diversa. The deal will enable Diversa to produce an estimated $100 million in annual product sales. Mexican-based Fermic's FDA-approved GMP facility is one of the largest fermentation plants in Latin America.

Serono + InDex = Promoting Inhibitor

Serono Pharmaceuticals will develop and commercialize InDex Pharmceuticals' Kappaproct, an antisense inhibitor of the p65 protein, for the treatment of ulcerative colitis and possibly other inflammatory diseases. If the treatment is approved, the deal could be worth as much as $35 million to InDex, which will receive an initial fee, milestone payments, and royalties.