Archive for October 2013

ACADIA Pharmaceuticals – Potential Big Pharma Buyout Candidate

October 29, 2013

Lindsay Rosenwald leverages more than two decades of experience in the biotechnology investment sector. Over the course of his career, Lindsay Rosenwald has helped grow several biotechs from early-stage start-ups into successful buyout candidates.

While 2013 has been a landmark year for biotech firms across the country, the industry has become even more enticing to potential investors over the last two months. Six biotechs completed initial public offerings in June, and share prices across the industry jumped when Onyx Pharmaceuticals Inc. turned down a buyout offer from Amgen Inc. Furthermore, dozens of biotechs have exciting new drugs in their pipelines. With this in mind, industry experts are predicting which firms will receive the next buyout offers.

One such company is ACADIA Pharmaceuticals Inc., a small biotech that has focused its efforts on drugs related to Alzheimer’s disease, schizophrenia, and Parkinson’s disease. If approved, these drugs will find a lucrative market in the aging U.S. population. Moreover, the company received notice from the U.S. Food and Drug Administration that it could forego another Phase III trial. ACADIA now plans to submit a new drug application for pimavanserin, which is designed to treat Parkinson’s disease psychosis, by the end of 2014. Although sources report that there are no deals in the works, some experts point to ACADIA as a potential candidate for a big pharma buyout.


Venture Capitalists See Massive Opportunity in Biotech Sector

October 8, 2013

Lindsay Rosenwald co-manages an investpment partnership that specializes in biotechnology investment. In addition to his professional obligations, Lindsay Rosenwald contributes to a variety of philanthropic organizations through the Rosenwald Foundation.

BiotechInvestment in the biotechnology sector has surged in 2013, following more than a dozen initial public offerings. In addition to the funds raised through these IPOs, experts report that venture capitalists poured $1.3 billion into the industry in the second quarter. A 41 percent increase over the first quarter, the sum encompasses more than 100 deals. Furthermore, funding for early-stage start-ups doubled to $328 million in the second quarter, demonstrating an enthusiasm for the industry that has not existed since before the financial crisis.

Unlike pharmaceutical companies, which typically allocate sales profits from drugs on the market to fund new drug development, biotechnology firms generally operate at a loss during their extensive research and development phases. Biotech firms have produced some of the most innovative therapies on the market; however, as a result of their business model, they require increased investor funds.