The Bio-Pharma business model is undergoing radical changes. Over the last two decades, we have seen a number of changes as the biopharmaceutical industry has gradually become more willing to look externally and embrace the concept of outsourcing as it looks for new sources of discovery and innovation.
Many disapprove of science faculty at American universities procuring corporate ventures that support research, instead of primarily functioning as an instructor, mentor and basic researcher. This perception is most evident surrounding biomedical research at public universities. In addition, some object that corporate-funded projects involve student research. In contrast, harmony and accord with companies has been a staple at institutions with medical, engineering or technology within their venerable names.
With a sustained rate of more than 250 R&D partnering deals each year many valuable lessons are being learned. Although there is no exact ‘formula for success’ there are many ‘success factors’ that can be utilised to reduce the risk of failure.
The barriers to establishing an equitable partnership between biotechs and big pharma are high and many partnerships, once established, do not deliver the tangible and non-tangible value expected by the licensor. This article addresses how to develop and implement a partnering strategy that will deliver attractive value, avoid the erosion of current assets, be commercially defendable during the course of the negotiation and lead to a contract and partnership which will look as attractive in retrospect as it does on the day of signature.