Bristol-Myers still hungry for deals after Medarex
* Bristol-Myers eyes deals ahead of patent expirations
* R&D chiefs say focus should be on patient, not cost cuts
* Pfizer R&D chief promises speedy Wyeth integration
By Bill Berkrot
NEW YORK, Sept 23 (Reuters) - Bristol-Myers Squibb Co's (BMY.N) $2.4 billion acquisition of biotechnology company Medarex has not quenched its thirst for takeovers as it faces the 2011 patent expiration on Plavix, its biggest-selling drug, the company's head of research and development said.
"We will continue to do deals," Elliot Sigal said.
"Like everyone else, we have significant drugs coming off patent. We've been focused on that for several years," he said during a panel discussion at this week's Windhover Pharmaceutical Strategic Alliances conference in New York.
"There's a lot of incentive to bring things in as an innovation strategy to manage the inevitable attrition."
In an effort to build up its portfolio of drugs in late-stage development, Sigal said Bristol-Myers expected about a third to come from external sources.
Peter Mueller, research chief of Vertex Pharmaceuticals Inc(VRTX.O), a biotech company with promising drugs in development but none yet on the market, warned of "disaster" as companies face the so-called patent cliff that will see many of the world's top-selling medicines face generic competition.
"In the next couple of years pharma is under quite a bit of pressure because we are losing altogether about $100 billion (in sales) over the next three years," said Mueller, who suggested that the industry's focus should be on patients and disease rather than cost cutting and acquisitions.
While Bristol-Myers has done quite a bit of cost cutting, Sigal agreed.
"As an industry I think we should acknowledge that we've just about lost our way," he said.
"We have to have the patient needs up front, and if you're trying to do something right by the patient the business will follow," Sigal said.
No one in the industry is facing a more significant patent expiration issue than Pfizer Inc (PFE.N), whose $11 billion a year cash cow Lipitor, for treatment of cholesterol, loses patent protection in late 2011.
SWIFT INTEGRATION Continued...
