The Burrill Weekly Brief | November 30, 2009

A Research Institute Seeks to Ignite Interest in Personalized Medicine
Podcast: November 27, 2009

Earlier this month the Commonwealth of Virginia announced it would provide financial support to help establish a home for the newly created Ignite Institute, a unique non-profit focused on translating innovations in personalized medicine into patient care. At the same time, the Institute announced it had formed a major founding partnership with Virginia’s Inova Health System. We spoke to Dietrich Stephan, founder and CEO of the Ignite Institue, about what it will take to realize the promise of personalized medicine, what makes his institute unique, and what barriers will need to be overcome to allow personalized medicine to deliver on its promise. Read More Here

By The Numbers

Financing Drug Discovery
A smattering of deals lead up to the Thanksgiving break.

A smattering of deals and financings marked the relatively quiet days before the Thanksgiving. San Diego-based biotech Receptos, closed a two-tranche $25 million series A financing. The company is focused on identifying and developing best- and first-in-class therapeutic candidates that target a family of membrane receptors known as G-Protein coupled receptors or GPCR. Investors include ARCH Venture Partners, Flagship Ventures, Lilly Ventures and Venrock. Read More Here

Biotech Industry Market Cap: $347.01 billion (up 1.75 percent for the week ending 11/25/09)


Performance of Select “Blue Chip” Biotechs

COMPANY
MARKET CAP
($B)
CHANGE IN
SHARE PRICE (%)
Amgen $57.77 3.07%
Gilead $42.28 1.27%
Celgene $25.62 1.51%
Genzyme $13.67 2.94%
Biogen $13.72 2.31%

Biotech back on track
On the final trading session before the Thanksgiving Day holiday U.S. stocks pushed higher sending both the Dow Jones Industrial Average and the S&P 500 to fresh 13-month closings. The market was buoyed by economic data that reinforced hopes of stabilization in the labor and housing markets. The Dow recorded a strong 1.4 percent gain for the shortened week with the Nasdaq Composite Index scoring an identical 1.4 percent increase. The Burrill Biotech Select Index, bolstered by the markets, posted a 1.5 percent gain for the week.

 

INDEX
12/31/08
11/20/09
11/25/09
% CHANGE (WEEK)
% CHANGE (YEAR)
Burrill Select 300.33 295.69 300.27 1.55% (0.02)%
Burrill Large Cap 379.7 452.01 460.42 1.86% 21.26%
Burrill Mid-Cap 139.39 156.48 159.86 2.16% 14.69%
Burrill Small Cap 78.35 86.78 87.42 0.74% 11.58%
Burrill Genomics 59.69 142.08 145.51 2.41% 143.78%
Burrill AgBio 127.72 159.14 158.78 (0.23)% 24.32%
Burrill BioGreenTech 106.12 156.76 159.06 1.47% 49.89%
Burrill Diagnostics 138.3 144.60 146.84 1.55% 6.17%
Burrill Personalized Medicine 79.63 87.87 89.07 1.37% 11.85%
Burrill Nutraceuticals 369.24 506.72 512.12 1.07% 38.70%
NASDAQ 1577.03 2146.04 2176.05 1.40% 37.98%
DJIA 8776.39 10318.16 10464.40 1.42% 19.23%
Amex Biotech 647.15 866.28 892.31 3.00% 37.88%
Amex Pharmaceutical 272.84 303.38 311.11 2.55% 14.03%

Culture Shift
Novartis and HHS partner for faster flu vaccine manufacturing.

Novartis and the U.S. Department of Health and Human Services will invest nearly $1 billion to build the first large cell culture-based flu vaccine manufacturing center in United States. The new North Carolina manufacturing facility will be capable of producing up to 150 million doses of flu vaccine within 6 months of a pandemic declaration should an emergency warrant it, but not until 2011, Novartis says. Read More Here

Clavis and Clovis Click
Norwegian biotech inks $380 million cancer deal with newly formed private pharma.

Norwegian biotech Clavis Pharma and privately held Clovis Oncology signed an agreement for the development and commercialization of Clavis’ CP-4126 anti-cancer compound, currently in a mid-stage trial as a treatment for pancreatic cancer. Clovis Oncology is a relatively new company led by former Pharmion executives who had raised $145 million in venture capital in the spring of this year with the idea of finding promising oncology programs to develop. Now they have their deal, which includes a $15 million signing fee for Clavis, up to $365 million in milestone payments, and tiered double-digit royalties on sales. Read More Here

Burrill Report Poll:
Does eating turkey on Thanksgiving make you sleepy? Tell us what you think

A Bone of Contention
Merck successful in Fosamax defense.

Merck has triumphed in the second of three key cases alleging its osteoporosis drug, Fosamax, can cause osteonecrosis of the jaw. The victory comes just two months after a similar case resulted in a mistrial when its jury deadlocked. In a summary judgment for Flemings v. Merck, issued November 23, Manhattan U.S. District Court Judge John Keenan said the case’s plaintiff, Bessie Flemings, failed to present sufficient evidence that Fosamax caused the deterioration of her jaw bone. Read More Here

Paying a Price for Ads
Drug ads ineffective for boosting sales, could cost taxpayers study finds.

U.S. taxpayers may be on the hook for the high cost of drug advertising that does little to boost sales, according to a new study led by a University of British Columbia health policy researcher. The study, published in theArchives of Internal Medicine, examined the U.S. sales patterns of Plavix (clopidogrel), a top-selling drug used to prevent blood clots after heart attack or stroke. The drug was selected for the study on the impact of advertising on sales because it was sold for more than three years before the launch of its first direct-to-consumer advertising campaign in 2001. Read More Here

Superbug on the Rise
New study finds potentially lethal MRSA increased seven-fold in hospital outpatients.

The community-associated strain of the deadly superbug MRSA—an infection-causing bacteria resistant to most common antibiotics—poses a far greater health threat than previously thought and is making its way into hospitals, according to a study in the December issue ofEmerging Infectious Diseases. The new threat is easily picked up in fitness centers, schools, and other public places and has increased the overall burden of MRSA within hospitals, the report found. Read More Here

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