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Genentech Purchase?

The proposed deal that would involve Roche’s (RHHBY) outright purchase of Genentech (DNA) may not go through.  The rumored bid of $43.7B for the remaining 44% of Genentech that Roche does not presently own would require a $45B loan, which appears to be hung up at the moment.  

The lending squeeze is apparently the culprit, as reported by Reuters.  The deal itself makes sense, but the magnitude of the required loan is just not feasible in the present economic climate.

Nonetheless, the Genentech buyout remains on the table. Read this article over at Pharmalot for further analysis on the matter.

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December 5, 2008 Posted by | Biotech, Deals, Pharma | , , , | Leave a comment

All Just a Memory

Roche Pharmaceuticals (RHHBY) announced a $50M acquisition purchase of Memory Pharmaceuticals, a small-cap biotech developing CNS compounds that had an existing partnership with Roche.

Memory has developed a class of nicotinic alpha-7 agonists, which are in Phase II trials for the treatment of Alzheimer’s and schizophrenia.  The drugs treat the cognitive dysfunction of these CNS disorders through their interaction with nicotinic receptors in the brain.

November 26, 2008 Posted by | Biotech, Deals, Pharma | , , , , | Leave a comment