Big pharma has a lot of cash and is looking so spend it

Zurich, Switzerland, Carlsbad, CA and Washington D.C., USA, October 27, 2008 – In order to seek out new partnering opportunities, the top 20 big pharma companies will be in attendance on November 17–19 in Mannheim/Heidelberg, Germany for BIO-Europe 2008, the world’s largest stand-alone partnering conference. Accompanied by their teams of scouts from research and business development, many of the most respected industry leaders will travel to the conference from around the world to examine industry issues, learn new business approaches, and most importantly, begin networking with organizations toward successful business deals.

On the minds of many attendees at BIO-Europe 2008 will be the recent credit crisis that is disrupting global markets and pushing economies into recession. Despite this turmoil, partnering gives the industry a reason to be optimistic.

“The current financial crisis has major implications for the biopharmaceutical industry. Capital will be much harder to access for private companies and the hundreds of public companies below USD 500 million in market cap. Companies must rationalize their portfolios and reduce operating expenses to survive”, said well known industry dealmaker and a featured speaker at BIO-Europe 2008, James Watson, Managing Director, Head of Merchant Banking, Burrill & Company. “Conversely, the larger big pharma and biotech companies are less affected and still opportunity poor and cash rich. Although acquisitions are growing in number, these deals are in reality still rare. The real win-win solution is partnerships. At Burrill we see increasing commitment from both sides to partner and greater focus on creative deals that leverage big pharma’s balance sheet in a ’banker role’ but stop short of a full acquisition.”

Echoing this comment, Barbara Yanni, VP and Chief Licensing Officer of Merck & Co., added, “Partnering has been a key strategic priority for Merck for many years. Over 65% of Merck's 2007 revenue came from in-licensed products and patents. Our commitment to partnering grows increasingly stronger each day. This should be very good news for small companies that have made significant discoveries and are seeking a partner to realize the vision of bringing new medicines to patients worldwide.”

Further, as reported by BioWorld Today, in addressing a recent industry gathering this October, David Brennan, CEO of AstraZeneca plc, said, "The crisis makes it even more important for cash-rich pharma companies like AstraZeneca to do more partnership deals. Strong companies don't sit around passively waiting for the [financial] storm to pass. For AstraZeneca, strategic partnering is priority.”

All of these remarks are reflected in BIO-Europe’s continuing growth this year and exemplify what industry data have illustrated for years: partnering is a key catalyst for the industry’s growth. BioWorld Today data indicate that the total number of annual bio-partnering deals has doubled from 600 in 1997 to more than 1,200 in 2007, with 400 biotech-big pharma collaborations in 2007, and more than 600 other biotech partnerships.

This year’s event will continue its 15-year legacy of providing quality partnering meetings and informative sessions. With over 2,300 delegates expected for BIO-Europe, industry leaders know where partnering deals begin.

Notes to Editors:
Entry to BIO-Europe 2008 is free to the media, including full access to the partnering system, sessions, press conferences, workshops, and pre-arranged partnering meetings. Visit the
BIO-Europe conference Web site at http://www.ebdgroup.com/bioeurope for detailed information on this year’s conference and online registration. When you register online, please indicate in the comment field that you are requesting a complimentary press registration. Please fax a copy of your press pass to complete your complimentary media registration to fax number +49 89 23 88 756-55.

About BIO-Europe
BIO-Europe is the preeminent stand-alone partnering event for the biotechnology industry. Delegates from all parts of the biotechnology value-chain come to BIO-Europe to efficiently identify, engage and enter into the strategic relationships that drive their business successfully forward. The annual BIO-Europe partnering event draws over 2,200 industry attendees from almost 50 countries, representing more than 1,250 companies, for three days of high-level networking. BIO-Europe is organized by EBD Group with the support of the Biotechnology Industry Organization and European Biopharmaceutical Enterprises. For more information please visit http://www.ebdgroup.com/bioeurope

About EBD Group
EBD Group is the leading partnering firm for the global life science industry. Since 1993, biotech, pharma and medical device companies have leveraged EBD Group’s partnering conferences, technology and services to identify business opportunities and develop strategic relationships essential to their success.

EBD Group’s conferences are run with the support of leading corporations and international trade associations and include:

• BIO-Europe and BIO-Europe Spring®, the world's largest stand-alone life science partnering conferences, supported by the Biotechnology Industry Organization (BIO)
• BioPharm America™, EBD Group’s North American partnering event
• EuroMedtech™, EBD Group’s new partnering event for the innovative medical technology industry
• BioEquity Europe, the investor conference co-organized with BioCentury Publications and BIO

EBD Group’s sophisticated Web-based partnering service, partneringONE™, is used as the partnering engine at numerous third-party events around the world. Outside of the conference format, EBD Group’s consultants provide hands-on assistance for firms seeking to in- or out-license products and technologies.

EBD Group has offices in the USA and Europe.

For more information please visit www.ebdgroup.com.

About BIO
BIO represents more than 1,200 biotechnology companies, academic institutions, state biotechnology centers and related organizations across the United States and in more than 30 other nations. BIO members are involved in the research and development of innovative healthcare, agricultural, industrial and environmental biotechnology products. BIO also produces the BIO International Convention, the world’s largest gathering of the biotechnology industry, along with industry-leading investor and partnering meetings held around the world.

Contact:
Constantine Theodoropulos
EBD Group
+1 617 292 7319
ctheodoropulos@ebdgroup.com

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