Sector News

Valeant’s still in the deal hunt, but it can grow 10%-plus without them, CEO says

January 8, 2015
Life sciences
In the wake of Valeant’s Allergan bid failure, rumors swirled that the serial buyer would swear off its modus operandi for a while to focus on cutting down debt. But according to CEO J. Michael Pearson, those who expect Valeant to stray from its dealmaking ways have another thing coming.
 
The company’s “business development activities will remain the priority for 2015,” he told investors on a conference call Thursday, noting that the Canadian pharma expects a “steady flow of small and medium-sized deals” to continue over the course of the year. It’s continuing to evaluate larger transactions, too, but the timing of those “remains difficult to predict.”
 
Still, the Quebec-based pharma is doing its best to convince its shareholders–and potential takeover targets–that it’s self-sufficient. After a months-long attack from Allergan on its business model and comparatively paltry R&D activities, Pearson Thursday touted Valeant’s pipeline and organic growth, which he expects to see climb to 10% to 12% this year.
 
Revenue from new products–which Pearson plans to promote aggressively–should help Valeant generate a top-line haul ranging between $9.2 billion and $9.3 billion, the pharma figures. Cash earnings will hit between $10.10 and $10.40 per share, it predicts.
 
In the meantime, Pearson’s putting his money where his mouth is. He’s extended his contract by 5 years, but going forward, he’ll do away with his base salary. His compensation will be wholly dependent on the company’s stock performance.
 
By Carly Helfand
 

Related News

June 13, 2021

Making drug-resistant bacteria susceptible to antibiotics

Life sciences

Antibiotic resistance remains one of the biggest public health challenges. New drugs are still needed to tackle tough-to-treat bacteria. But finding new therapeutics to kill off pathogenic bacteria has been difficult.

June 13, 2021

Vexed by vectors: How COVID-19 vaccine and cell and gene players are tackling the viral vector bottleneck

Life sciences

Viral vectors are engineered viruses used to deliver gene therapies, gene-modified cell therapies and certain vaccines. And their shortage is already upon us, thanks to manufacturing approaches that simply haven’t kept pace with the advance of cell and gene therapies.

June 13, 2021

Beigene expands into cancer cell therapy with Shoreline pact

Life sciences

Beigene, a fast-growing drugmaker based in Cambridge, Massachusetts and Beijing, will partner with Shoreline Biosciences to develop cell therapies for cancer, expanding its research beyond the small molecule and antibody drugs.

Send this to a friend