Protein payoff

Last week's deal between ZymoGenetics Inc. and Serono S.A. is a matter of productivity, giving ZGEN the opportunity to monetize the downstream value of its prolific research, while allowing the Swiss biopharmaceutical company to bulk up and broaden its pipeline while keeping management focused on its core skills in development and commercialization.

For Serono (SWX:SEO; SRA, Geneva, Switzerland), the decision to do a large early stage deal with ZGEN is a way to double the productivity of research, as SEO believes the deal will provide about 50% of compounds entering its pipeline going forward. The collaboration also tips new areas of therapeutic interest for the company, as SEO potentially could add three new indications to its portfolio...