In Vivo is part of Pharma Intelligence UK Limited

This site is operated by Pharma Intelligence UK Limited, a company registered in England and Wales with company number 13787459 whose registered office is 5 Howick Place, London SW1P 1WG. The Pharma Intelligence group is owned by Caerus Topco S.à r.l. and all copyright resides with the group.

This copy is for your personal, non-commercial use. For high-quality copies or electronic reprints for distribution to colleagues or customers, please call +44 (0) 20 3377 3183

Printed By


An Independent Pharmacia Diagnostics Charts an Independent Course

Executive Summary

Two private equity firms' acquisition of Pharmacia Diagnostics from Pfizer underscores private equity's growing but still selective interest in European health care and opportunities in a field overlooked by mainstream diagnostics companies, allergy testing. The new owners are paying nearly $600 million in a bet on Pharmacia Diagnostics' long-time management's ability to take advantage of the growth potential of this specialized field.

You may also be interested in...

Diagnostic Products Corp.: Thriving, For Now

The popularity of DPC's random-access immunoassay system, the Immulite 2000, has helped the company become a significant player in the highly competitive automated immunoassay market. But DPC's benefited from some good luck--namely the misfortunes of top player Abbott Diagnostics and the slow efforts by other competitors to step into the gap left by Abbott. DPC's dilemma is whether it can maintain its narrow focus as Abbott re-emerges and other competitors get stronger.

Pfizer's Balancing Act

Unlike other major companies, Pfizer has successfully counterbalanced the disappointments of its internal R&D with the certainties of other companies' marketable products--first through co-promotions, and later through acquisitions--and its own sales capabilities. But things seem to have changed: by acquiring Pharmacia, Pfizer does as much as it can to assure investors above-average industry growth for the next several years and dilute the impact of the genericization of major products in 2006-7. But the deal also may limit Pfizer's ability to access new late-stage compounds, and thereby hedge the risk that its own pipeline won't produce, as potential licensers evaluate the implications of hooking up with a company which has gobbled up its two most important partners. Instead, Pfizer must depend on M&A to counterbalance risk of R&D failure-but given stronger anti-trust concerns and Pfizer's own breadth of R&D and product line, its acquisition choices will be limited. Nonetheless, with its near-term growth problems settled, Pfizer has created for itself important breathing room unavailable to most of its competitors--and thus greater ability to take advantage of new opportunities that develop.

BrainMD Latest To Target GLP-1 Secretion, AllerPops Promotes Prebiotics As Allergy Remedy

Line extension for physician’s brand BrainMD intends to support secretion of glucagon-like peptide-1; research shows AllerPops prebiotic lozenges improved rhinitis allergy symptoms significantly; and Nutramax Laboratories developing Practitioner Formulas supplements with health care professionals.


Related Companies

Related Deals

Latest Headlines
See All



Ask The Analyst

Ask the Analyst is free for subscribers.  Submit your question and one of our analysts will be in touch.

Your question has been successfully sent to the email address below and we will get back as soon as possible. my@email.address.

All fields are required.

Please make sure all fields are completed.

Please make sure you have filled out all fields

Please make sure you have filled out all fields

Please enter a valid e-mail address

Please enter a valid Phone Number

Ask your question to our analysts