Big Pharma is in the need of a bailout. Thankfully,
( SGP) aren't piling into private jets and flying down to D.C. for a public handout.
What the big drug companies should be doing is spending a lot more time around Boston and San Francisco, doling out the cash they do have to smaller biotech firms in need of the green stuff. In exchange, Big Pharma firms get what they desperately need: new drugs to fill the gaping holes that cheaper, generic drugs have created in their pipelines.
By my count (and with the help of a database maintained by
), more than 60 biotech and small drug companies are conducting clinical trials on unpartnered drugs at this time. Surely, some of these companies, not all, will become either alliance or takeover targets for Big Pharma in the next year.
Among the biotech and drug companies on this "singles" list are
( ALTH) and its blood cancer drug PDX,
( RDEA) and its HIV drug RDEA806 and
, which is going to need deep pockets to launch a female sexual dysfunction drug called LibiGel.
Obesity is a growing epidemic in this country, yet three small drugmakers with weight-loss drugs in phase III studies --
-- are all without Big Pharma partners.
can prove to the world that its prostate cancer immunotherapy
works, it's not hard to envision the company getting a lot of interest from a large pharmaceutical partner.
was able to negotiate a lucrative deal from Pfizer for the company's Alzheimer's drug candidate
. Now, Medivation has a prostate cancer drug nearing phase III studies that the company may also seek to out-license. On a related note,
( CGRB) also has a similar prostate cancer drug that is unaligned at the moment.
has already stated that the company will be seeking a partnering deal for its endometriosis drug Elagolix.
Other companies on my "unpartnered drug" screen include
Also look at
At the time of publication, Feuerstein's Biotech Select model portfolio was long Medivation.
Adam Feuerstein writes regularly for TheStreet.com. In keeping with TSC's editorial policy, he doesn't own or short individual stocks, although he owns stock in TheStreet.com. He also doesn't invest in hedge funds or other private investment partnerships. Feuerstein appreciates your feedback;
to send him an email.