Navigation Links
Royalty Rates Take Center Stage in Biopharma Dealmaking
Date:11/14/2012

ATLANTA, Nov. 14, 2012 /PRNewswire-USNewswire/ -- One-by-one, big pharmaceutical firms are plunging off patent cliffs. They're scrambling to fill pipelines and reinforce bottom lines. The door is open wider than ever for biotechnology companies and their coffers of innovative therapeutic candidates to negotiate lucrative licensing deals with a focus on royalty rates. New data from BioWorld reveal that biotechs can garner higher rates from a pharma partner than any other licensee.

(Logo:  http://photos.prnewswire.com/prnh/20120628/DC32901LOGO)

The average royalty rate for deals with a pharma licensee is 14.9% at the high end and 11.74% at the low end, while other deals (ex: other biotechs) command average royalty rates between 9.88% and 6.39%, according to Biopharmaceutical Royalty Rates Analysis: Essential Benchmarks for Dealmaking, a new BioWorld Data tool that analyzes hundreds of licensing deals to provide a tangible starting point for deal negotiations.

Drugs to treat pain are garnering the highest average royalty rate of 14.7% at the high end and 8.5% at the low end.

"Just last month, on the eve of reporting 3Q earnings, Eli Lilly and Co.'s Fitch Rating was lowered from stable to negative due to Lilly's looming patent cliff, called the steepest in the industry by Fitch, due to anticipated losses of antidepressant Cymbalta and Type I diabetes drug Humalog next year," said Lynn Yoffee, BioWorld's executive editor. "Partnering and dealmaking are a matter of survival. The extra tough economy has forced drug developers to sharpen their dealmaking skills. To help drugmakers at the negotiating table, we've analyzed >300 licensing deals to provide an array of average and median royalty rates and up-front licensing fees to help these negotiators with details that can be used as benchmarks and comparators."

The report includes a variety of analyses, including a deeper dive into certain hot disease areas such as Alzheimer's and hepatitis. Backing up the analyses are profiles of more than 320 deals including all deal terms and key background information on the drug or drug technology in focus.

For access to BioWorld's Biopharmaceutical Royalty Rates Analysis: Essential Benchmarks for Dealmaking visit www.bioworld.com/royaltyrates or call 800-888-3912.

BioWorld Today, and its analytical companion, BioWorld Insight, are the biopharmaceutical industry's most respected news sources and have been for more than two decades. All of that information is now leveraged in BioWorld Data, business intelligence for biopharmaceutical executives.

CONTACT: Lynn Yoffee, Executive Editor, +1-404-262-5408


'/>"/>
SOURCE BioWorld
Copyright©2012 PR Newswire.
All rights reserved

Related medicine technology :

1. STAAR Surgical Celebrates Over 300,000 Successful Visian® ICL Implants at ASCRS Congress
2. Henry Schein Celebrates Earth Day
3. OncoSec ElectroChemotherapy Demonstrates Potential as Alternative to Surgery for Treating Head and Neck Cancer
4. Shire Delivers Strong First Quarter Performance and Reiterates its Expectation of Good Full Year Earnings Growth
5. New Data to be Presented at the Annual American Thoracic Society International Conference Demonstrates Depth of Boehringer Ingelheim Respiratory Research Pipeline
6. Former NxStage Patient Nikolas Gieske Celebrates Kidney Transplant
7. AXIOS™ Stent and Delivery System Study Demonstrates Successful Treatment of Pancreatic Pseudocysts and Acute Cholecystitis
8. Inovio Pharmaceuticals Universal Avian Flu Vaccine Generates Protective Antibody Responses Against Six H5N1 Viruses in Phase I Trial
9. Liberty Dialysis Celebrates Milestone 1,000th Patient in Peritoneal Dialysis Program
10. Ceregene Parkinsons Disease Study Demonstrates Long-term Neurturin Expression and Enhanced Dopamine Activity 4 Years Following Delivery of CERE-120 (AAV2-neurturin)
11. BIOCRATES Life Sciences to Launch Waters Xevo® TQ MS Editions for Two of its Well-established Research Kit Products, AbsoluteIDQ® p180 and p150
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:6/9/2017)... , June 9, 2017 AirXpanders, Inc. ... focused on the design, manufacture, sale and distribution of ... on the progress of its commercial roll-out in ... available in more than one hundred (100) medical institutions ... AeroForm offers a needle-free alternative for women who ...
(Date:6/7/2017)... -- Endo International plc (NASDAQ: ENDP ) ... Joseph R. Goodwin , U.S. District Court Judge for ... , entered a case management order in MDL 2325, ... Litigation (the "MDL") that includes a provision requiring plaintiffs ... on specific causation within one hundred twenty (120) days ...
(Date:6/3/2017)... June 3, 2017  Eli Lilly and Company ... results from the Phase 3 MONARCH 2 study ... 6 inhibitor, in combination with fulvestrant, significantly improved ... alone in women with hormone-receptor-positive (HR+), human epidermal ... who have relapsed or progressed after endocrine therapy ...
Breaking Medicine Technology:
(Date:6/20/2017)... ... ... As a leading dental practice, Wall Centre Dental supports Stroke Awareness Month ... bleeding gums in Vancouver, BC, may be developing gingivitis, the first stage of ... and diabetes. Drs. Parviz Roshan, Siamak Tehrani and Milton Reskovich offer laser gum therapy ...
(Date:6/20/2017)... ... June 20, 2017 , ... This year, participants in the ... finding product improvements that could reduce the occurrence of unplanned extubations (UEs). ... breathing or to provide medication. Sometimes, patient movement can cause unplanned extubations which ...
(Date:6/20/2017)... ... June 20, 2017 , ... Uniform Advantage ... featuring seven new products designed to create tailored looks and athleisure-inspired outfits. UA Flex ... cotton easy care stretch twill. , With trendy looks hitting the medical community, UA ...
(Date:6/20/2017)... ... , ... John D'Eri, CEO of Rising Tide Car Wash , will ... during the Autism Society of America 's 49th annual conference to be held ... (DJFF) was founded in 2002 as the nation's first autism organization focused exclusively ...
(Date:6/20/2017)... ... June 20, 2017 , ... International water ... The Sharon Kleyne Hour Power of Water, Global Climate Change and Your Health ... world’s water crisis and how it affects the human eyes. , According ...
Breaking Medicine News(10 mins):