Sanofi strategically deployment in China feminine drug market by BMP Sunstone (美華太陽石) acquisition

Sanofi Makes a Big Push in China

October closes with almost $1 billion in IPOs, $3 billion in M&A activity, and potentially $3 billion in partnering deals. MARIE DAGHLIAN. The Burrill Report Sanofi-Aventis reinforced its presence in China with the acquisition of BMP Sunstone for $521 million in cash, representing a 30 percent premium above the closing price of Sunstone's shares before its board of directors unanimously approved the transaction. The merger follows the recent formation of Hangzhou Sanofi Minsheng Consumer Healthcare joint venture and will make the pharmaceutical powerhouse a leading consumer healthcare company in China. "The acquisition of BMP Sunstone will not only leverage our consumer healthcare business in China, but will also bring us unique access to new expanding distribution channels which are expected to account for a third of the pharmaceutical market in China in the coming years," says Sanofi CEO Chris Viehbacher. BMP Sunstone is a specialty pharmaceutical that manufactures pediatric and women's health products sold in pharmacies throughout China and had sales of approximately $147 million in 2009, 60 percent of which were in the consumer health segment. The company also markets a portfolio of products under exclusive multi-year licenses in China, primarily focused on women's health and pediatrics, and provides pharmaceutical distribution services through subsidiaries in Beijing and Shanghai. Sanofi has been moving aggressively into the consumer healthcare market as a way to diversify and grow the company as several of its biggest drugs go off patent. The company claims to be the fifth largest consumer healthcare company in the world, since its acquisition of U.S. consumer products company Chattem in 2009. China's market for these products is second only to the United States and has grown at 11 percent per year since 2005, a trend that is expected to continue as its middle class grows and becomes more urban. Sanofi already has a major presence in China with 5,000 people in more than 200 cities and three manufacturing facilities, and a large research and development center in Shanghai. Completion of the transaction is subject to Chinese regulatory approval and to the approval of BMP Sunstone stockholders, 23 percent of which have committed to vote in favor of the merger. Sanofi was not the only pharmaceutical company crossing borders to do a deal. Israeli generic powerhouse Teva Pharmaceuticals went to Germany to acquire Théramex, Merck KGaA's women's health business for $367 million. Théramex's products are sold in 50 countries worldwide, including countries in which Teva will acquire distribution rights. Théramex has built an especially solid reputation in France and Italy as a company dedicated to women's health and gynecology. In addition to Teva's upfront cash payment, Merck will be eligible to receive certain performance-based milestone payments. The transaction is expected to close towards the end of this year or in early 2011. Jordanian pharmaceutical Hikma is expanding its global injectables portfolio and its U.S. market presence through the acquisition of Baxter's multi-source injectables business for $112 million in cash. The deal will position Hikma as the second largest injectables supplier in the United States with a combined market share of more than 15 percent. Biotech companies also reaped the rewards of a busy week of dealmaking. MacroGenics enriched its coffers with two drug discovery deals with big pharmaceutical companies—Boehringer Ingelheim and Pfizer will use its antibody platform directed at multiple targets. Rockville, Maryland-based MacroGenics expects to receive at least $60 million from Boehringer and could get up to $210 million more for the successful development of each of up to ten therapeutics developed by the collaboration. The collaboration with Pfizer is focused on cancer. Financial terms were not disclosed. Seattle's Immune Design granted MedImmune exclusive worldwide rights to use its novel early stage adjuvant in vaccines for select infectious diseases. In return, Immune Design will get an upfront licensing fee and potential development, regulatory and commercial milestones of up to $212 million, in addition to royalty payments on sales of marketed products. Amicus Therapeutics licensed Amigal, its late stage Fabry Disease drug, to GlaxoSmithKline for $30 million upfront, up to $170 million in milestone payments, as well as significant royalties on global sales. GSK is also taking a 20 percent stake in the New Jersey biotech for another $31 million. As part of their agreement, the companies also intend to advance clinical studies exploring the co-administration of Amigal with enzyme replacement therapy to treat Fabry Disease. Finally, Pacific Biosciences went public, pricing 12.5 million shares at $16 each to raise $200 million. The company is developing DNA sequencing machines that promise to sequence the genome faster, cheaper, and more accurately.

 

Deals for the Week Ending October 29, 2010
Global Venture Financings
Company	Location	Amount Raised (USD M)	Principal Focus
aTyr Pharma	San Diego, CA	23.0	Therapeutics-protein drugs
ContraFect	New York, NY	14.2	Therapeutics-infectious
Solx	Sudbury, MA	3.7	Medical devices
CardioNexus	Houston, TX	N/A	Diagnostics
Cappella	Galway, Ireland	14.6	Medical devices
Mind-NRG	Geneva, Switzerland	14.0	Therapeutics-CNS
EntreChem	Oviedo, Spain	2.0	Therapeutics-cancer
Biopta	Glasgow, Scotland	0.4	Tools/Technology
Curefab	Munich, Germany	N/A	Diagnostics
Total Raised US		40.9
Total Raised Non-US		31.0
Grants and Contracts
Company	Funding/Contracting Agency	Amount Raised (USD M)	Principal Focus
Grants
Rockland Immunochemicals	NIH Phase I SBIR	N/A	Generic antibodies
Galapagos (Belgium)	Flemish agency for Innovation	5.1	Cystic fibrosis
Contracts
SAIC	US DoD 3-year task order	23.0	Biometrics
Total Grants and Contracts		28.1
PUBLIC FINANCINGS
Company	Ticker	Amount Raised (USD M)	Financing Type
Sihuan Pharmaceutical	HK:0460	741	IPO
Pacific Biosciences	PACB	200	IPO
Stentys	Euronext:STNT	31.9	IPO
PURE Bioscience	PURE	2.4	PIPE
DARA BioSciences	DARA	1.4	PIPE-RDO
InVivo Therapeutics	OTC:NVIV	10.5	PIPE
AVEO Pharmaceuticals	AVEO	61.0	PIPE
PharmAthene	PIP	15.0	PIPE-RDO
Sirona Biochem (Canada)	TSX-V:SBM	1.0	PIPE
Ariad Pharmaceuticals	ARIA	59.2	Follow on
Oncolytics Biotech (Canada)	ONCY	24.0	Follow on
Sigma-Aldrich	SIAL	300.0	Debt
Omeros	OMER	25.0	Right to percentage of net proceeds
Ore Pharmaceuticals	OTC:ORXE	5.3	Debt and equity
Amicus Therapeutics	FOLD	31.0	GSK takes 20 percent equity stake
TOTAL PUBLIC FINANCINGS-US		710.8
NON-US		797.9
M&A
Acquirer	Target	Deal Value (USD M)	Focus
Stryker	Boston Scientific's neurovascular business	1,500.0	Medical devices
Sanofi-Aventis (France)	BMP Sunstone (China)	520.6	Specialty pharma
Teva Pharmaceuticals (Israel)	Theramex (Merck KGaA-Germany)	367.0	Women's health
Green Plains Renewable Energy	Global Ethanol	169.0	Renewable fuels
Hikma Pharmaceuticals (Jordan)	Baxter's Injectables business	112.0	Generic injectables
Kadmon Pharmaceuticals	Three Rivers Pharmaceuticals	100.0	Specialty pharma
Endologix	Nellix	54.0	Medical devices
Colorplast (Denmark)	Mpathy Medical	35.0	Female pelvic health
Leadtec Systems Australia	Mimotopes (Commonwealth Biotechnologies)	1.1	Tools/Technology
Alliances
Company/Licensee	Company/Licenser	Deal Value (USD M)	Focus
Boehringer Ingelheim (Germany)	MacroGenics	2,160.0	Antibody Therapeutics Alliance
MedImmune (AstraZeneca-UK)	Immune Design	212.0	Vaccine Adjuvant License and Collaboration
GlaxoSmithKline (UK)	Amicus Therapeutics	200.0	Fabry Disease License
Pfizer and four other pharmas	Ablexis	55.0	Drug Discovery Platform License
Biovail (Valeant)	Acadia Pharmaceuticals	8.8	Conclusion of Parkinson's Collaboration
NeuroVive (Sweden)	to-BBB (the Netherlands)	N/A	Neurology Partnership
Millennium (Takeda-Japan)	Therasis	N/A	Drug Discovery Collaboration
Celtic Therapeutics	Resolvyx Pharmaceuticals	N/A	Opthalmic drug Option agreement
Pfizer	MacroGenics	N/A	Cancer License and Collaboration
Abbott Laboratories	Myriad Genetics	N/A	Companion Diagnostic Cooperative Agreement
Jingxin Pharmaceutical (China_	Evotec (Germany)	N/A	Insomnia Drug License
Seattle Genetics	Compugen (Israel)	N/A	Oncology Collaboration and License Option

 

中國制藥工業百強榜企業黑馬: 太陽石藥業 (婦幼藥品專家) ，法國賽諾菲安萬特收購!!

太陽石藥業"黃金法則"決勝制藥工業百強

全球競爭加劇和多元化格局顯然已在各行業打下時代的烙印，醫藥行業無可避免的成為最受關注的行業之一，新醫改的橫空出世、老齡化社會加速形成以及醫療用藥結構的變化，牽動著醫藥行業的每根神經，而產業集中度快速提高的現實，也昭示著醫藥商業領域競爭加劇的現狀和未來。6月23日，國內知名制藥企業齊聚杭州蕭山，一年一度的醫藥行業"奧斯卡"——"中國醫藥競爭力暨第五屆中國制藥工業百強年會"不僅成為國內一流制藥企業"紅地毯"領獎的榮耀之地，更是藥界同仁共謀行業發展、探討產業聚能的平臺。

百強年會百花齊放 黃金十年蓄勢待發

公開資料顯示，2009年我國醫藥工業總產值已達到1.04萬億元，然而產業格局的悄然變化正牽動著國內制藥業的發展。國藥控股運營管理部的顧問幹榮富向媒體表示，每一年的制藥工業百強榜企業列位和銷售收入的變化都在佐證產業格局的變化，有的企業在上千家企業競爭中逐漸銷聲匿跡，有的企業卻如黑馬般進駐藥界"奧斯卡"，中國醫藥產業正在進入一個快速和空前劇烈的分化、調整、重組的新時期，企業兩極分化、優勝劣汰進程加快。從2009年的榜單上，我們看到，像太陽石藥業、李時珍醫藥集團、寧夏啟元藥業等一大批黑馬型選手正以絕佳的戰績榮膺百強。負責本次百強年會的南方醫藥經濟研究所的工作人員告訴記者，"百強企業的考量標準雖然是以銷售數據作為一項硬指標，對於企業而言，並不是片面追求規模至上和龐大醒目的銷售數字就能夠獲得如此殊榮，以規模性、效益型、成長性、創新性和軟實力的五大核心指標體系甄選百強企業，挖掘出真正的醫藥領軍企業並解構其核心競爭力，將對我國醫藥事業下一個黃金十年的發展起到參考作用。"

出牌"紅利"還是"潛力"制勝？

"紅利"無可避免的成為醫藥生產企業所追求的目標，成為耀眼的制藥工業百強企業必須擁有優秀的業績，以本次年會的"黑馬"太陽石藥業為例，談及獲得2009年制藥工業百強企業殊榮的制勝秘訣時，董事長兼總經理仝志軍表示，"在殘酷的市場競爭中，強者的崛起源自於對時機敏銳判斷和準確把握，蓄勢待發、感應可能出現的'變數'，集中塑造企業的核心競爭力才是根本。走出了規模效益的怪圈，多渠道、多方位、多層次的培養企業的綜合實力，這不僅是太陽石藥業榮登制藥百強企業的秘訣，更是企業抓住機遇把握未來'醫藥黃金十年'所必須堅持的。"

太陽石藥業：立足婦幼 徜徉藍海

正如第五屆中國制藥工業百強年會上的同期論壇的主題"蓄勢與變數"一樣，太陽石藥業醫藥產業大洗牌中和新醫改帶來的一系列產業變革中，精準定位、深耕細作，成為醫藥"藍海"的領航者與創新者。從1996年到現在，太陽石藥業已走過了14個年頭，從起源於全國首家婦幼藥廠到2008年成為納斯達克上市的美國美華太陽石集團公司下全資子公司，以及在2008年11月，成功收購張家口聖大藥業有限公司，豐富了"好娃娃"品牌的兒科抗菌消炎類產品線。太陽石藥業顯然經歷了"變數"的考驗，並在不斷的創新中成就新的高度。然而，企業在蓄勢的過程中始終歷久不變的卻是"堅定不移地走發展婦女兒童用藥的專業化特色之路"，這也成為企業實現藍海夢想的堅定信念。"在這樣一個堅實的基礎上，不斷用創新維繫競爭力，是我們企業生命力的保障"。巋然于變局中的太陽石藥業，顯然已尋找到基業長青的DNA，並通過企業文化、品牌、行銷網路、企業社會責任的構築，不斷打造核心競爭力。據了解，2010年太陽石藥業在現有行銷體系基礎上，設立品牌管理中心，通過以"太陽石杯"、"好娃娃杯"大型公益活動，構建與婦女、兒童的交流平臺，傳播安全用藥和健康的理念。伴隨著人口的增長和健康觀念的革新，醫藥行業未來的"黃金十年"就在眼前，制藥工業百強企業年會像是一面鏡子，透射著優秀企業的價值觀和行動力，也促進著醫藥產業良性競爭氛圍的形成。我們有理由相信，傳承和開拓企業的核心競爭力，將成為中國醫藥行業生生不息和穩健前行的無限動能。

 

法國製藥商賽諾菲安萬特5億美元收購美華太陽石

2010年10月28日新浪財經訊 北京時間10月29日下午消息，據外電報道，法國製藥商賽諾菲安萬特(Sanofi-Aventis SA)周四宣佈以5.206億美元收購美華太陽石公司(BMP Sunstone Corp)(BJGP)。這樁交易將進一步鞏固該公司在中國醫療市場的地位。2009年，美華太陽石公司創造約1.47億美元的營收，其中近60%來源於大衆醫療市場，主要得益於其集合經銷商、公立醫院及地方診所於一體的經銷網絡。美華太陽石公司在中國已經打造出兩個認知度較高的品牌：好娃娃和康婦特。前者是兒童感冒藥品牌，後者是婦科護理品牌。賽諾菲同意以每股10美元的價格收購美華太陽石公司，較後者周三收盤價溢價30%。目前賽諾菲在中國200多個城市共有5000名員工，該公司還在中國擁有三個生産基地，分別位於北京、杭州及深圳。

Eli Lilly intends to close research center in Singapore and then scramble to China

The Week in Review: Making Deals

publication date: Oct 30, 2010Sanofi-Aventis (NYSE: SNY) will acquire BMP Sunstone (NSDQ: BJGP) for $520.6 million or $10 per share (see story). The move gives Sanofi two recognized consumer healthcare brands in China, but just as importantly, it includes Sunstone's well-established distribution network. Sanofi, the world's fifth largest OTC healthcare company, has stated it wants to expand in emerging markets by acquiring consumer healthcare companies, adding to its portfolio of patented drugs.
aTyr Pharma completed a $23 million Series C round, which it will use to develop its pre-clinical pipeline, based on physiocrine drugs. The company is headquartered in San Diego. It also has operations in Shanghai and collaborates with China organizations in drug development. In addition, aTyr's Hong Kong subsidiary, Pangu BioPharma, which operates in partnership with Hong Kong University of Science and Technology (HKUST), assists in aTyr's pre-clinical drug development.
Sihuan Pharmaceutical Holdings (HKEX: 0460) jumped 25% to HK$5.77 (US$.73) in the first day of trading following its IPO, giving more evidence that Hong Kong is the current worldwide center for warm receptions to pharmaceutical stock offerings (see story). The company's IPO was priced at HK$4.60, representing a forward P/E ratio of 27, and it hit a high of HK$6.05 in pre-market activity.
According to sources, China's 12th Five-Year Plan will be published by the end of October (see story). Although we aren't privy to the details of how China will support the life science industry in 2011-15, the general outline is known. We publish what we expect to see when the official plan surfaces later this week, or as often happens, some time after that. We will follow up with details as they become known.
In a surprising move, Eli Lilly (NYSE: LLY) said it will close its Singapore Center for Drug Discovery by the end of 2010 (see story). Established in 2002, the center had 130 employees. In 2008, Lilly committed another $150 million in 2008 to expand the operation. There are rumors that Lilly will make a significant announcement about its R&D activities in China in the next month or so.
Zhejiang Jingxin Pharmaceutical has in-licensed the China rights to an insomnia drug candidate from Evotec AG (Frankfurt: EVT) of Germany (see story). Jingxin Pharma will have exclusive China rights to the EVT 201, a novel, clinical-stage insomnia treatment. Evotec will receive a small upfront payment, plus commercial milestones and royalties that Evotec called "significant."
Aoxing Pharma (NYSE Amex: AXN) reported its JV, which will produce narcotic drug APIs, has passed a GMP inspection conducted by the SFDA (see story). The company expects its newly renovated facility to earn full GMP certification by the end of 2010, allowing manufacturing to begin in 2011. The JV will receive a capital investment of $15 million over 5 years. Initially, the entity will develop eight narcotic API products for the China market, but its potential product portfolio could exceed 30 products.
China Sky One Medical (NSDQ: CSKI) has asked the SFDA to approve production licenses for 15 new externally applied TCM medical products (see story). The company expects to receive permission to manufacture the products by the end of the year and begin marketing the products next year. The 15 products were developed by Heilongjiang Traditional Chinese Medical University, which also sponsored the production request.
Sinovac Biotech (NSDQ: SVA) lowered its financial guidance for 2010 by a full 33%, saying it now expects revenues to be $40 million to $45 million (see story). Earlier, the company expected 2010 sales to fall in a $60-67 million range. The company blamed the shortfall on a vaccine scare in China, caused by media reports of severe side effects of a vaccine administered in Shanxi province.