The biotechnology industry
According to the Biology Technology Organization, biotechnology is simply “technology based on biology – biotechnology harnesses cellular and biomolecular processes to develop technologies and products.” These technologies and products include food technology, genetic research, healthcare, and environmental technology.
The above graph shows the breakdown of total revenues that biotechnology companies (IBB) earn in the various disciplines. Biopharmaceuticals are drugs developed from biological sources and used to treat animal and human diseases. They account for about a third of total revenues, or $150 billion, earned by the biotechnology sector in 2014.
Biotech seeds, or genetically modified food, is the cross discipline between biotechnology and agriculture. Industrial biotechnology includes all other applications of biotechnology in sectors like chemicals, biofuels, feedstock, and energy.
Biopharmaceuticals
Biopharmaceutical companies such as Amgen (AMGN), Biogen (BIIB), Regeneron Pharmaceuticals (REGN), and Celgene (CELG) differ from pharmaceutical companies based on a drug’s development process. Traditionally, pharmaceutical companies have manufactured small molecule compounds that contain various chemicals. The drugs are termed “small molecule” since the molecule is small enough for the body to absorb its constituents in pill form.
Biopharmaceutical drug manufacturing involves programming live cells to produce large molecule drugs on a mass scale. The manufacturing process of biopharmaceutical drugs is more complex and capital-intensive than small molecule drugs. So these companies take longer than pharmaceutical companies to generate positive cash flows. Biopharmaceutical drugs have historically had higher commercial success rates than traditional pharmaceutical drugs.
Source: Market Realist
Five years ago, GSK made headlines when it hired Emma Walmsley to become the first woman to run a major pharmaceutical company. Now the Big Pharma has brought in another woman to control the company’s finances. Julie Brown will be GSK’s next chief financial officer. Brown, currently the chief operating and financial officer at fashion and beauty brand Burberry Group, is set to replace Iain Mackay.
Moderna created a new role responsible for “building out the company’s organization to support its growing pipeline.” Starting first thing 2023, Juan Andres, Moderna’s manufacturing head, will step into this new role under the title president of strategic partnerships and enterprise expansion, the company said Thursday.
The latest takeover is anticipated to boost the presence of Torrent in the dermatology segment. Indian company Torrent Pharmaceuticals has signed a definitive agreement for the complete acquisition of Curatio Healthcare for $245.16m (Rs20bn).
