When can a drugmaker beat earnings expectations and project a 10% boost in profits for the year and still end up disappointing investors? When that drugmaker is Novo Nordisk, the world's largest insulin maker, focused on a rapidly growing treatment area with investors expecting more, more, more.
Let's face it: When it comes to new drug approvals, projected blockbuster revenue is one of the sexiest aspects of the story. So when Biogen Idec's new Tecfidera was approved for multiple sclerosis, the main competition was seen in bidding up what the drug is likely to bring in for the Boston-based biotech. And the numbers soared to full mega-blockbuster status.
Bristol-Myers Squibb ($BMY) and AstraZeneca ($AZN) dispatching legions of sales reps to tout Byetta and Bydureon? Bring it on, says Novo Nordisk's ($NVO) Mads Krogsgaard Thomsen. The Danish company's chief scientific officer told Bloomberg that more talk about that class of diabetes drugs will help Novo, too.
Novo Nordisk isn't worried about Bydureon. That's what the company said as it announced second-quarter results last month. Now, CFO Jesper Brandgaard explains why, in an interview with Investor's Business Daily .
Now that Bristol-Myers Squibb and AstraZeneca have teamed up to buy Amylin Pharmaceuticals, the question is this: Can their Big Pharma sales heft make Amylin's diabetes franchise pay off? Enough to justify the $7 billion outlay?
Here's another potential wrench in the works for Amylin Pharmaceuticals ($AMLN). Shareholder Paul Berger sued the company's board, accusing directors of hiding a buyout bid from Bristol-Myers Squibb ($BMY)for personal profit. According to the suit, the board turned away Bristol-Myers' $3.5 billion offer and kept it quiet while they bought up stock options.
The FDA says Amylin Pharmaceuticals hasn't been completely honest about its diabetes drugs. Actually, a top agency official said so back in January, but the documents were only just posted to the FDA website.
Amylin is looking to expand Bydureon, its Type 2 diabetes drug, with a new drug delivery method: pre-filled injection pens instead of syringes.
In one of the worst kept secrets in the industry, Sanofi has been in the scrum of potential buyers forming around Amylin in recent weeks.
After Amylin reportedly declined BMS' recent buyout offer, Bristol isn't giving up on its plans to gobble up the diabetes drugmaker, The Wall Street Journal reported.