Monday, May 5, 1997
Being a service provider
can be a bit like being a mother: if you take care of others, it's hard to take
care of yourself. For companies that want to develop their own products for
marketing, the infrastructure necessary to provide services to customers while
also supporting internal discovery and development can be difficult to amass.
Privately held Alanex
Corp. found a solution in the shelter provided by a larger company, agreeing to
be acquired last week for 1 million shares of stock by Agouron Pharmaceuticals Inc. (AGPH, La Jolla, Calif.). But rather than being totally subsumed within
the larger organization, the transaction is structured so that Alanex can
retain its own identity and programs, sharing expertise with AGPH. The
acquisition shields Alanex (San Diego, Calif.) from other service provider
competition while the company gets the chance to see its own compounds brought
forward under AGPH's drug development program.