Tuesday, September 6, 1994
It's not yet enough to declare a trend, but last week's deal between DNX Corp.
and Baxter Healthcare Corp. is the third or fourth this year in which a lead
company has gathered under one roof disparate pieces of technology in a related
disease area, to form a coherent whole.
Nextran, the partnership formed between DNXX and Baxter, combines the organ
transplantation programs from both companies, as well as technology previously
licensed by Baxter from Cantab Pharmaceuticals plc (CNTBY) and SangStat Medical Corp. (SANG). (See What They Did.)
Baxter said Nextran will address three primary obstacles to transplantation:
identifying compatibility between donor organs and recipients, preventing and
treating acute organ rejection, and expanding the supply of organs.
Rajen Dalal, CHIR vice president of corporate planning, emphasized that the current bargain prices for technology and companies aren't a driving force behind CHIR's strategy. "If biotech became the hottest thing on Wall Street tomorrow, we'd still have to do this," he said.
"Many of the key components of future products are dispersed, and these are complementary from a technology, clinical and commercial standpoint. Because of the nature of the industry, discovery is a decentralized and dispersed activity. Each of these companies has something - a patent, knowhow - which one could ignore if one wanted to and do development in parallel. But it's more economical to lasso them