Bayer And Kythera Strike Licensing Deal in Aesthetic Dermatology
This article was originally published in The Pink Sheet Daily
Bayer's Intendis skin care unit bets on a niche drug that is likely to depend on out-of-pocket payments.
You may also be interested in...
Allergen will pay $600 million for promoting the drug for headache and spasticity; government says company taught physicians how to bill for off-label uses.
In the pharmaceutical industry, dermatology is the new ophthalmology. Like ophtho, dermatology has long been viewed as a pharmaceutical backwater dogged by a diverse set of problems, including a fragmented market, drug delivery challenges, and less than effective therapies. Today's market forces, however, are driving Big Pharma into a more specialized direction, and in the past three years, many - if not all - Big Pharmas have reoriented their pipelines, refocusing on areas of high unmet medical need in the hopes of identifying novel drugs that have a greater chance of passing muster with regulators and succeeding in the marketplace. Freed from the need to pursue blockbuster products, dermatology assets are suddenly more attractive.
In dermatology offshoot Intendis, Schering AG has created the ideal European crossbreed: a group with the management experience associated with spin-outs, and a revenue-generating side more typical of specialty pharma. The snag: Schering's retaining full ownership--for now.