advancing science, changing lives 1. safe harbor this is an independent study performed by students...
TRANSCRIPT
![Page 1: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/1.jpg)
Advancing science, changing lives
1
![Page 2: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/2.jpg)
Safe Harbor
This is an independent study performed by students from the Faculté des Sciences
Pharmaceutiques of Lille.
The opinions expressed are our own and not necessarily those of Elan Corporation plc.
2
![Page 3: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/3.jpg)
Overview of the company
• Created on 18 December 1969 by Donald Panoz• Became a public limited company in January 1984 • Stock Exchange Listings
– New York Stock Exchange (ELN)– Irish Stock Exchange (ELN.I)
• Elan Corp = 2 business units:
Elan Drug Technology BioPharmaceuticals
Science and clinical based
• Parkinson’s disease
• Alzheimer’s disease
• Multiple sclerosis
Integrated technology
• Oral Controlled Release
• NanoCrystal technology
3
BioNeurology
Elan website28th Annual J.P. Morgan Healthcare Conference, on January 13, 2010
![Page 4: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/4.jpg)
Locations and subsidiaries in 2009
Gainesville, GA• Owned• R&D• manufacturing• administration • 89,000 sq. ft
BermudaFinancial services company
San Francisco, CA• Leased• R&D• sales• administration• 334,000 sq. ft
King of Prussia• Leased• R&D• manufacturing, sales• administration • 113,000 sq. ft
Dublin• Leased• Headquarters• 41,000 sq. ft
Athlone• Owned• R&D• manufacturing• administration • 463,000 sq. ft
http://www.elandrugtechnologies.com/locationsAnnual Report 2009
OCR
NanoCrystal
Others
4
![Page 5: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/5.jpg)
Elan Drug Technology’s pipeline
5Elan website
![Page 6: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/6.jpg)
Elan BioNeurology’s pipeline
Alzheimer’s diseaseMultiple sclerosisCrohn’s diseaseChronic painOther
6Elan website
![Page 7: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/7.jpg)
History with Donald Panoz NanoCrystal and Oral Controlled Release Yesterday : Tricor, Skelaxin, Ritalin, Verelan Today : Ampyra, Invega Sustenna, Zypadhera Tomorrow ?
ElanDrugTechnology
![Page 8: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/8.jpg)
8
![Page 9: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/9.jpg)
Business Overview
9
![Page 10: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/10.jpg)
Elan collaborative model
10Elan website
![Page 11: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/11.jpg)
What is Nanocrystal Technology ?
Technology using tiny drug particles in the nanometre scale The drug size is reduced by a proprietary milling technique GRAS stabilisers are absorded on the nanoparticle to afford agglomeration GRAS stabilizers must be safe and are excipients commonly used in
marketed products ( fat acid, polymers)11
Objective: obtain a colloïdal dispersion
Elan website
![Page 12: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/12.jpg)
Effects of NanoCrystal on bioavailability
12
• Nanocrystal technology is used: For poorly water soluble drugs: ↑ solubility ↑ bioavailability For moderately soluble drugs when high concentration is need in a low fluid volume
• Useful for all dosages forms both parenteral and solid ,liquid oral dosage forms
![Page 13: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/13.jpg)
Point on Oral Controlled Release
13
Avinza, Cardizem, Focalin, Ritalin,Verelan, Luvox, Zanaflex
Naprelan Verelan Afeditab
![Page 14: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/14.jpg)
Yesterday…
14
Trade name Generic name Indication Technology Parteners
Tricor® 145mg fenofibrate Dyslipidemia NanoCrystal
Skelaxin® metaxolone Skeletal-muscular pain NanoCrystal
Ritalin®/ Focalin®
Methylphenidrate/Dexmethylphenidate Hyperactivity OCR
(SODAS)
Verelan® verapamil Cardiac disorders OCR (CODAS)
![Page 15: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/15.jpg)
Tricor® : what’s that?
• API: micronised fenofibrate (prodrug)• Indications: Dyslipidemia type IIa, IIb, IV, III,V
• 2004: Tricor® 145 launched by Abbott and manufactured by Elan using NanoCrystal technology
• Could market lower dosage strength with 9% improve in bioavailability• Minimised food effect:
Class formulation: 30-50% fasting Vs 60-90% while eating Micronized formulation: bioavailability 100% without conditions.
• Patented formulation expiry on 9-Jan-2018
15
![Page 16: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/16.jpg)
Today…
16
Trade name Generic name Indication Technology Parteners
Paliperidone palmitate Schizophrenia NanoCrystal
Fosaprepitant dimeglutine
Emetogenic chemotherapy NanoCrystal
Olanzapine Schizophrenia NanoCrystal
Fampridine Cardiac disorders OCR (MXDAS)
16
![Page 17: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/17.jpg)
Ampyra® (Fampridine) : What is it ?
• FDA approval on 22 jan 2010• Indication : improved walking in patients
with multiple Sclerosis • Extended released tablets using Oral release
technology MXDAS
• Mechanism = not fully elucidated => several hypotheses for Ampyra’s mechanism: Fampridine is a broad spectrum potassium
channeblocker Fampridine increases conduction of action
potentials in demyelinated axons through inhibition of potassium channels
Increase acetylcholine release at the neuromuscular junction
17
®
![Page 18: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/18.jpg)
Ampyra®: the deal
18
Elan and Accorda, a joint venture since 1998 for MS
rest of the world marketing
16% of royalties for elan manufacture in Athlone’s facility
Biogen paid:upfront: US$ 110 millionsmilestones: US$400 millions
US$35.7millionsfrom Accorda for thedrug delivery
http://seekingalpha.com/article/184252-acorda-after-fda-approval-what-s-next-for-ampyrahttp://www.iguanabio.com/acorda-biogen-in-ex-us-deal-for-fampridine-sr-no-us/
![Page 19: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/19.jpg)
Ampyra®’s forecast sales
19
• Represents the sales in U.S• Ampyra will be launched in March 2010
![Page 20: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/20.jpg)
… and tomorrow for Elan Drug Technology
20Elan website
![Page 21: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/21.jpg)
Elan BioNeurology Yesterday : Azactam®/Maxipime®, Prialt® Today : Tysabri ® Tomorrow :
• Alzheimer Immunotherapy Program• Research in Parkinson’s disease
21
![Page 22: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/22.jpg)
Timeline of Elan’s marketed products
• Maxipime® (Cefepime)
• Azactam® (Aztreonam)
• Tysabri® (Natalizumab)
• Prialt® (Ziconotide)
• AIP Program
1996
1998
1995
2000
Beginning of a new business unit called Elan Biopharmaceuticals, then Elan BioNeurology 22
• From 1969 to early 1990’s : Elan only worked in drug delivery domains• Then, Elan’s activities widened with collaboration from research to market of drugs
![Page 23: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/23.jpg)
Maxipime® (cefepime) : what’s that?• Semi-synthetic forth-generation cephalosporin• Mechanism of action :
– Inhibits final transpeptidation of peptidoglycan synthesis in bacterial cell walls– inhibiting cell wall biosynthesis
• Broad spectrum activity• Indications
– respiratory tract infection– skin infections– urinary tract infections– febrile neutropenia– Intra-abdominal infections
23Thomson
![Page 24: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/24.jpg)
Maxipime® (cefepime) revenues
24
- 78%
Bristol-Myers Squibb CoElan Corp plc
USD
(Mill
ions
)
Annual report 2009Thomson
![Page 25: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/25.jpg)
Prialt® (ziconotide)
25
![Page 26: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/26.jpg)
Prialt® (ziconotide) : what’s that?
Member of the ω conotoxin family o 25 aminoacids and 3 disulfide bondso prepared by chemical synthesis
Targets N-Type voltage sensitive calcium channels = > diminished neurotransmitter release
Pain Transmitting
nerves
Pain signal
Ziconotide
Calcium
N-type calcium channel
Intrathecal formulation
26
![Page 27: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/27.jpg)
History of Prialt® (ziconotide)May 1993 Neurex (now Elan) joined Warner-Lambert (now Pfizer) in a collaboration to cooperate in the
development and commercialization of ziconotide for the treatment of brain ischemia
early 1995 phase II trials for the prevention of brain damage halted due to some patients experiencing hypotension. Neurex received permission from the FDA in May 1995 to resume these trials
Aug. 1999 9th World Congress on Pain meeting in Vienna, Austria : results of a placebo controlled study into the use of intrathecal ziconotide in the treatment of chronic pain in opioid-resistant non-cancer patients
May 2001 37th ASCO meeting in San Francisco : clinical data for chronic pain in cancer and AIDS patients
9 Jul. 2001 Orphan designation granted by the European Commission
Feb. 2002 Elan had reached an agreement with the FDA and had agreed to conduct one additional phase III
2004 Pain Management 2004 meeting in London, UK 4th annual conference on Ion Channels in Drug Discovery Development in Philadelphia, PA.
Apr. 2005 Lauch market in the USA
Mar. 2006 Eisai acquired the European rights to ziconotide from Elan Elan received ~ $60 million for the launch in key European markets +$40 million contingent on Prialt achieving revenue related milestones in Europe.
2016 Expiration of fundamental U.S. patent covering the use of ziconotide
27Thomson
![Page 28: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/28.jpg)
Tysabri® (natalizumab)
28
![Page 29: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/29.jpg)
Tysabri® (natalizumab) : what is it ?
• Humanized Monoclonal Antibody (recombinant IgG4)• Targets selectively human α4-integrine • Trade names : Tysabri®, Antegren®
Integrines α-4 • Expressed on cell membrane • In association with β1 or β7 integrines • Adherence molecules on activated T-cells, B-cells, monocytes, eosinophils, basophils, leukocytes, NK cells, dendritic cells, and vascular endothelium of some organs.• Implicated in leukocytes homing to CNS and GIT
29GASTROENTEROLOGY, 2009, Vol. 136, Issue 4, 1182-1197M/S : medecine sciences, vol. 21, n° 10, 2005, p. 797-798.Drug Discovery Today Volume 12, Numbers 13/14 July 2007
![Page 30: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/30.jpg)
Tysabri® dealings
30Thomson
![Page 31: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/31.jpg)
Tysabri®’s timeline
18 MONTHS
31Drug Discovery Today Volume 12, Numbers 13/14 July 2007Nature Biotechnology, Nov 2009,vol 27, Numero 11
![Page 32: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/32.jpg)
Tysabri® and PML
• 25-Feb-2006: Confirmation of 3 cases of PML (initial trials: 3,417 patients) 2 patients during MS trial (SENTINEL) + 1 patient in trial for Crohn’s disease All 3 were on combination therapy with another immunosuppressive drug No patients on Tysabri alone developed PML
• Progressive Multifocal Leucoencephalitis = opportunistic disease Agent = JC virus (Polyomavirus family) infects oligodendrocyts => local demyelinisation => neurologic dysfunction ~ 80% of population already met JCV before adult age => latent form (bone
marrow and kidneys)
• Natalizumab + another immune drug fixation of natalizumab on VCAM-1 and MAdCAM-1 of endothelial cells inhibition of T-cells homing uncontrolled replication of JCV in CNS
32N Engl J Med 2006;354:924-33.
![Page 33: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/33.jpg)
33
![Page 34: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/34.jpg)
Consequences on the stock
34
25-Mar-2005 26,90 $
28-Mar-2005 8,00 $
ELAN
28-Mar-2005 38,65 $
25-Mar-2005 67,28 $
BIOGEN -50%
-67%
Yahoo finance
![Page 35: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/35.jpg)
Tysabri®’s REMS: TOUCH® program
• 7-8 March 2006 : Risk Minimalisation Action Plan exposed to Peripheral and Central Nervous System Drugs Advisory Committee Meeting => Goals : o Warn patients about risk-benefit balance forTysabri use in treatment of MS patients.o Contraindicated in immunocompromised patients o Minimize health consequences of PML (death/disability) through early diagnosis
• Key elements of Tysabri Outreach: Unified Commitment to Health program o Mandatory enrollment of prescribers, infusion sites, and afflilated central pharmacieso Controlled distribution to authorized infusion sites and pharmacieso Education program for health care providers and patientso Safety surveillance of PML, serious opportunistic infections, and deathso Program evaluation of health outcomes, process compliance, and assessment of
knowledge
35Business Insights, 2009 « THE AUTOIMMUNE OUTLOOK TO 2013, Competitive landscape, pipeline analysis and growth opportunities »Joint Meeting of the Gastrointestinal Drugs Advisory Committee and the Drug Safety and Risk Management Advisory Committee, 31-Jul-2007
![Page 36: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/36.jpg)
The benefit
• Natalizumab versus β-IFN is:- Sligthly more effective (MRI data)- Twice as effective (relapse-rate data)- More effective (EDSS data)
• Many people strongly believe that Natalizumab is the most effective drug we currently have.
• Patients asked the right to choose and accept the risk
Tysabri returned to the US market in July 2006Tysabri returned to the US market in July 200636
![Page 37: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/37.jpg)
Top 5 Multiple Sclerosis Drugs in 2007 (m$)
37
Will Tysabri marketing setback affecting its own sales and Elan’s business ?
N°5 !
![Page 38: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/38.jpg)
Tysabri® sales rose, fell… then rise again!
38
Forecast Tysabri in-market net sales in 2013 : 1,3 b$NB: Expected patent expiry by 2015Life cycle management:
natalizumab SCextension of indication to multiple myeloma
Nature Biotechnology, novembre 2009, vol 27, numero 11 Business Insights, 2009 Natalizumab, Thomson 2009 28th Annual J.P. Morgan Healthcare Conference, on January 13, 2010
![Page 39: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/39.jpg)
2005 2011
Injectables
IV
TeriflunomideTeriflunomide
LaquinimodLaquinimodFTY 720FTY 720
Oral CladribineOral Cladribine
DaclizumabDaclizumabGeneric Mitoxantrone (oncology) (MS)
Generic Mitoxantrone (oncology) (MS)
Orals
TysabriTysabri
IV
2006 2007
Copaxone
Betaseron
Avonex
Novantrone
RituximabII - RRMS; III - PPMS
RituximabII - RRMS; III - PPMS
Rebif
2010 2012
MLN1202MLN1202
BG 12 Oral FumarateBG 12 Oral Fumarate
Fampridineambulation indication?
Fampridineambulation indication?
MBP 8298MBP 8298
Filed
approved In phase II
In phase III
SB683699SB683699
2013
Campath
Existing and Emerging Therapies for MS
39
![Page 40: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/40.jpg)
Alzheimer’s disease
40
![Page 41: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/41.jpg)
http://www.ihsglobalinsight.com/SDA/SDADetail17223.htm
The Alzheimer Immunotherapy Program
41
![Page 42: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/42.jpg)
Two approaches for Alzheimer’s disease
42Mécanismes Moléculaires dans les Démences Neurodégénératives Inserm-UM2-EPHE U710La maladie d’Alzheimer : aspects moléculaires, diagnostiques et thérapeutiquesOctobre 2009
![Page 43: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/43.jpg)
Neuropsychopharmacology (2009) 34, 142–158;doi:10.1038/npp.2008.115
Figure 6
![Page 44: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/44.jpg)
3 approaches in the Beta amyloid cascade
44
![Page 45: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/45.jpg)
Tomorrow : AIP
45
Janssen Alzheimer Immunotherapy
BapineuzumabACC-001
Follows-on
28th Annual J.P. Morgan Healthcare Conference, on January 13, 2010
![Page 46: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/46.jpg)
BioCentury, the Berstein report on biobusiness July 6, 2009 Page A22 of 37http://www.ihsglobalinsight.com/SDA/SDADetail17223.htm
$885 M
18,4% Elan's capital
IP Elan (AIP)Estimated at $500 M
$ 500 M
49,9% Janssen AI's capital
RoyaltiesUnder conditions
The Deal
46
![Page 47: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/47.jpg)
The Deal
47BioCentury, the Berstein report on biobusiness July 6, 2009 Page A22 of 37
Transaction
J&J purchased 107.3 million Elan's shares at $8,241/share
J&J also agreed not to acquire any more shares for the next five years
The program will remain partnered with Wyeth, which was acquired by Pfizer Inc (01/2009, $68 billion)
Royalties : ONLY after J&J has earned profits from the AIP equal to its $500 M
Janssen AI: all annual in-market sales Royalties for Elan
$2 billion - $4 billion 5 %
$4 billion - $ 10 billion 7 %
> 10 billion 9 %
![Page 48: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/48.jpg)
Bapineuzumab (AAB-001)
48
• Name: AAB-001• Other Name: Bapineuzumab• Class: Humanized monoclonal antibody• Therapeutic Applications: Mild to moderate AD• Therapy Types: Protein : humanized monoclonal antibody against Aβ• Mechanisms: Designed to bind and remove the Aβ peptide that accumulates in
the brain• Development Status: Fast Track status from FDA in U.S• FDA Phase: Phase III• Side Effects:
– Passive immunotherapy will induce similar side effects is largely unknown. One report has shown that frequency and severity of cerebral microhemorrhage
– Vasogenic edema
Thomson
![Page 49: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/49.jpg)
Bapineuzumab (AAB-001) : Phase III
49
Design Multicentrique, randomized, double-blind, placebo-controlled, parallel-assigned trial, studies
4 studies : 2 with ApoE4 (+) & 2 withApo E4 (-)
2 US trials and 2 European phase III trial
Safety Objective The safety and tolerability
Estimated study
Duration 18 Months
Dosing 0.5 mg/kg
1 mg/kg
Source : http://www.elan.com/Images/Bapineuzumab%20_AAB-001_%20Backgrounder%20Final_tcm3-20147.pdf http://clinicaltrials.gov/ct2/show/NCT00574132?term=bapineuzumab&rank=1 http://clinicaltrials.gov/ct2/show?term=bapineuzumab&rank=4
Development Fast Track designation from the FDA
![Page 50: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/50.jpg)
Forecast sales and market share for bapineuzumab
502010 THOMSON REUTERS
![Page 51: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/51.jpg)
Research on Parkinson’s disease
• Several active early discovery efforts in Parkinson’s disease
• The Michael J. Fox Foundation for Parkinson’s Research Program « Novel Approaches to Drug Discovery »
• In 2009, the program funded six research projects.
• 2006 : Michael J. Fox Foundation and Elan Commit up to $2 Million to Drive Novel Therapies for Parkinson's
51Annual report 2009MJFF website
![Page 52: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/52.jpg)
Our opinion about Elan Corporation plc.
• Financial Analysis• SWOT• Would we join Elan?
52
![Page 53: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/53.jpg)
Major owners of Elan Corp. at 22-Feb-10
53Annual Report 2009
![Page 54: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/54.jpg)
Total product revenue for 2009
54
724,3m$
81,4m$16,5 m$ 13,2m$ 1,7m$
61,6 m$
34,9 m$ 32,6 m$ 22,1 m$
106 m$
18,7 m$0 m$
Annual Report 2009
![Page 55: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/55.jpg)
Revenues from marketed products of BioNeurology
55Annual Reports
![Page 56: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/56.jpg)
Elan Drug Technology: total revenue
56Annual Reports
![Page 57: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/57.jpg)
Five years performance : EBITDA improvement
2005 2006 2007 2008 2009
57Annual Reports
![Page 58: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/58.jpg)
Operating margin
58Annual Reports
![Page 59: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/59.jpg)
2008US$m
2009US$m
Assets
Current Assets
Cash and cash equivalents 375.3 836.5
Restricted cash and cash equivalents -- current
20.2 16.8
Investment securities -- current 30.5 7.1
Deferred tax assets -- current 95.9 23.9
Other current assets 240.1 274.9
Total current assets 762.0 1,159.2
Non-Current Assets
Intangible assets, net 553.9 417.4
Property, plant and equipment, net 351.8 292.8
Equity method investment -- 235.0
Investment securities -- non-current 8.1 8.7
Deferred tax assets -- non-current 145.3 174.8
Restricted cash and cash equivalents -- non-current
15.0 14.9
Other assets 31.5 42.9
Total Assets 1,867.6 2,345.7
Liabilities and Shareholders' Equity/(Deficit)
Accounts payable, accrued and other liabilities 334.8 311.5
Long-term debt 1,765.0 1,540.0
Shareholders' equity/(deficit) (232.2) 494.2
Total Liabilities and Shareholders' Equity/(Deficit)
1,867.6 2,345.7
The consolidated Balance Sheet
59Annual Report 2009
![Page 60: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/60.jpg)
Elan’s debt 2005-2009
Due dates :• November 2011:300 m USD• December 2013: 615 m USD• October 2016: 625 m USD
Elan's long term debt
0
500
1000
1500
2000
2500
2005 2006 2007 2008 2009
mil
lio
ns
US
D
Strong indebtedness => the success of AIP is essential Elan plc is restricted among various other things :
• Incur additional debt• Enter into transactions with related parties• Enter into some types of investment transactions; • Engage in some asset sales or sale and leaseback transactions• Pay dividends or buy back our ordinary shares• Consolidate, merge with, or sell substantially all our assets to another entity
Widen their capital
60Annual Report 2009
![Page 61: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/61.jpg)
61Annual Report 2009
![Page 62: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/62.jpg)
Five years performance : cost management
Approximate 5 years change
↑ > 30%
↓ > 20%
Reduced SG&A and reinvest savings in R&D
6228th Annual J.P. Morgan Healthcare Conference, on January 13, 2010
![Page 63: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/63.jpg)
Number of employees in Elan corp.
Year R&D activities
Manufacturing and supply activities
Sales and marketing activities
General and administrative area Total
2005 471 583 310 365 1729
2006 494 543 328 369 1734
2007 553 547 211 299 1610
2008 656 601 123 307 1687
63Annual Reports
![Page 64: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/64.jpg)
Elan’s lawsuits
64
![Page 65: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/65.jpg)
Evolution of the stocks
65
AN1792 +
Wolf popper LLP
Launch of Tysabri
Tysabri withdrawal
Results of Bapineuzumab
Clinical Trial
Yahoo finance
![Page 66: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/66.jpg)
Strengths
•Leadership position in drug delivery
•Tysabri, its key product, sustaining the revenue growth
•Strategic alliances bolstering the company’s business
Weaknesses
Important endebtedness
•patent expiry and risk of generic competition
•Geographic concentration enhancing business risk
•Tysabri marketing restricted indications affecting Elan’s business
Opportunities
• Focus on Alzheimer’s market, could be a source of revenues •Benefits to accrue from growing incidences of neurological disorders
•Favorable demographic shift increasing Alzheimer drug market
Threats
• Intense competition from Avonex, Rebif against Tysabri in the MS drug market.
•Patent expiries could affect company’s Revenues
•Legal proceedings could affect company’s Reputation
•Reimbursement policies could affect company’s product sale
66
![Page 67: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/67.jpg)
Conclusion
• An important debt and short due dates.• Cash flow left only for 12 months!…• Tysabri revenues will not be enough.• No more constant revenues from BioNeurology
business unit.• Elan depends on the success of the AIP, especially
on bapineuzumab success.• So ?…
67
![Page 68: Advancing science, changing lives 1. Safe Harbor This is an independent study performed by students from the Faculté des Sciences Pharmaceutiques of Lille](https://reader036.vdocument.in/reader036/viewer/2022062307/551c0399550346ad4f8b4d58/html5/thumbnails/68.jpg)
Thanks for your attention! Any question?
68