Pharmaceutical and Life Sciences Publications

Diagnostics 2011: Report on IVD (in vitro diagnostics) M&A deal activity in 2011

Right place, right time: Ireland as a hub for pharmaceuticals

Rise of the nichebuster

(This article was first published in Innovation, April 2011)

Publications
Right place, right time: Ireland as a hub for pharmaceuticals	October 2011
Are you missing a cash saving opportunity? The complexity of product lines and supply chains in the pharmaceutical and life sciences sector presents compliance challenges. In this update we focus specifically on VAT, looking at both recent legislative and industry developments which have presented planning and in some cases cash savings opportunities for companies in this sector.	December 2010
What do Ireland's transfer pricing changes mean for pharmaceutical companies? The introduction of broad-based transfer pricing rules in Ireland is a development which will be of particular interest for to Irish-based pharmaceutical companies, in particular those at heart of multinational supply chains. To fully maximise this development, companies will need to act sooner rather than later. Looking forward, this development strengthens the position of Irish operations in realising benefits from group tax planning and business modelling opportunities.	October 2010
Reduce your effective tax rate: Research & development opportunities for medical device companies	April 2010
Reduce your effective tax rate: Intellectual property opportunities for medical device companies	April 2010
Generating cash from Irish R&D activities Recent enhancements to Ireland's R&D tax credit regime together with both the Intellectual Property tax regime introduced in 2009 and a range of existing R&D grant incentives, position Ireland as an excellent location to develop, manage and exploit intellectual property. These enhancements now enable companies to obtain cash for unutilised credits and generate cash tax refunds by carrying back R&D tax credits to the prior year. In the current environment is an attractive proposition that merits serious consideration.	November 2009

Articles
Rise of the nichebuster (This article was first published in Innovation, April 2011)	April 2011
Tax to play a bigger role in pharma company valuations and business strategies (First published in Business & Finance Life Sciences Review)	June 2010
Managing the rise of effective tax rates (First published in European Biopharmaceutical Review)	January 2010

Pharma 2020: Supplying the future - Which path will you take? Our Pharma 2020 series examines the changes likely to impact the sector over the next decade, with this most recent publication focusing on the importance of supply chains. We believe that few if any pharma companies have supply chains capable of meeting tomorrow's needs. In this report, we outline how we expect supply chains to change and what this means for companies operating in the sector.	February 2011
Pharma 2020: Taxing times ahead – Which path will you take? The 5th fifth paper in the Pharma 2020 thought-leadership series focuses on the corporate tax landscape. It discusses how political, economic, scientific and social trends currently shaping the commercial environment in which the industry operates, are likely to increase effective tax rates of pharma companies.	November 2009
Pharma 2020: Challenging business models - Which path will you take? The 4th report in the series published in June 2009 explores why traditional integrated business models which involve doing everything from R&D through to commercialisation, may not be the best option for Big Pharma companies in 2020. We believe that if companies are to prosper, more creative and collaborative business models are required. We review a number of alternative business models in the context of the future challenges facing the sector. We also look at some key self-review questions companies should consider before transitioning to a new model.	March 2009
Pharma 2020: Marketing the future - Which path will you take? The 3rd paper in the series, published in February 2009 discusses the need for companies to change their approach to marketing and sales to sustain future growth and performance. Among the dynamics reshaping the sector are the growing power of healthcare payers, providers and patients. Companies are no longer being rewarded for incremental innovation, me-too products and selling the most pills. They need to add value to patients and offer a package of products and health services for which the market is willing to pay a premium. Companies must develop marketing and sales functions fit for this changed marketplace.	February 2009
Pharma 2020: Virtual R&D – Which path will you take? Our 2nd 2020 report explores opportunities in the area of R&D. To remain at the forefront of medical research, the industry must become more innovative in this area, reducing the time and money spent developing new therapies. We also expect new technologies to enable the adoption of ‘virtual R&D’, replacing much of the research currently performed in a lab. The sector needs to make a seismic shift from its current approach to R&D in response to the changing needs of society, essentially to operate in collaboration with researchers, governments, healthcare payers and providers in a more connected world.	June 2008
Pharma 2020: The vision - Which path will you take? By 2020, the context in which the industry operates will be very different from that which prevails today. This is the 1st publication in our Pharma 2020 series, published in June 2007. The report highlights a number of issues likely to have a major bearing on the industry over the next 13 years to 2020. We also discuss the changes we believe will best help companies realise the potential the future holds and will enhance the value they provide to shareholders and society alike.	May 2007

Diagnostics 2011: Report on IVD (in vitro diagnostics) M&A deal activity in 2011 This report provides an overview of M&A deal activity in the in vitro diagnostics (IVD) sector during the past two years. IVD tests are medical devices used in the examination of specimens, including blood and tissue donations, to detect diseases, conditions, or infections. The report focuses on the factors driving this deal activity, the development of new prospects for early detection testing and a review of significant events for the development of personalised medicine.	December 2011
14th Annual Global CEO Survey: Industry summaries site	February 2011
Medical technology innovation scorecard: The race for global leadership The PwC Medical technology innovation scorecard explores the changing nature of healthcare innovation. This report uses an 'innovation scorecard' to identify which countries have the strongest capacity and capability to adapt to the changing drivers of healthcare innovation and the results show that the gap between innovation leaders and emerging economies is rapidly narrowing.	January 2010
Biotech reinvented: Where do you go from here? With financial investors getting more cautious and ever-increasing pressure to deliver on drug discovery and development expectations, we believe that the business model on which biotechnology companies has operated over the past 30 years is no longer sustainable. In this report, we put forward to two collaborative models for conducting research and development. We believe that biotechnology companies need to move towards these models to become more efficient and to increase innovation. This move will have implications for other parts of the pharmaceutical and biotechnology value chain.	January 2011
Business combinations: How will the new accounting standard affect you? Significant recent changes in accounting for business combinations under IFRS 3 (revised) are likely to introduce more volatility into income statement of pharma companies who have either recently completed or are planning to acquire other businesses or specific assets (IP, research methods etc). This change applies to all business combinations for which the acquisition date is on or after the start of the first annual period beginning on or after 1 July 2009 (for calendar year-end entities it is applicable to all acquisitions from 1 January 2010). This publication shares our recent insight on the issues and opportunities that this new standard raises for pharma companies.	September 2010
Staying ahead of IFRS challenges In February 2010, the SEC acknowledged that IFRS is best positioned to be the future global accounting standard. A determination on whether or not to further incorporate IFRS into the US public markets is expected by the end of 2011. In the meantime, a number of new standards are likely to advance the convergence of US GAAP and IFRS. In that context, this publication examines adoption on those areas of significant difference between IFRS and US GAAP unique to the pharmaceutical and life science sector. It also highlights the related commercial issues and challenges likely to arise across a number of key business areas including research collaborations, mergers and acquisitions, tax structures, financing, systems requirements etc.	March 2010
Biotech: Listing big pharma’s prospects with biologics With dwindling cash reserves, a squeezed credit market and a poor IPO environment, the challenges facing the biotechnology sector in 2009 are significant. However, the future looks bright with therapeutic and diagnostic biologics recently reported the fastest growing subsectors within the life sciences industry. They also played a key role in helping drive venture capital investment in the overall human biotechnology sector in 2008. In this report we focus on how biologics is acting as a catalyst for drug innovation and development and in effect, fundamentally changing the pharmaceutical sector landscape.	May 2009
Leveraging IT risk management to boost competitive advantage The pharma and life sciences sector faces unprecedented compliance challenges and the close regulatory scrutiny of the industry is likely to only increase. A proactive and risk-based technology governance, risk and compliance approach will allow companies to better manage the cost of compliance, to streamline compliance and business processes through increased automation. and to fuel innovation objectives. Companies that take action first will not only have a greater chance of survival, but they also stand to potentially gain a significant competitive advantage.	May 2009
Investing in China’s pharmaceutical industry: 2nd edition China’s pharmaceutical market conditions continue to present significant investment opportunities. It now ranks among the top five worldwide drug markets in terms of overall size. In this, our second in-depth review of China’s changing pharmaceutical sector landscape since 2006, we explore and expand on the key issues and challenges facing companies either operating in or looking to invest in this marketplace.	March 2009
Global CEO Survey: Pharmaceutical sector summary A financial crisis of historic magnitude was unfolding as we set out to reflect the views of over 1,124 CEOs around the world, in this our 12th annual CEO survey. CEOs are operating in very difficult conditions, with little margin for error. Pharmaceutical sector CEOs regard new product development as the key opportunity to achieve growth over the next 12 months. We also look at the key focus areas this group believe are key to achieving success over the longer term horizon.	January 2009
The changing dynamics of pharma outsourcing in Asia: Are you readjusting your sights? In this report, we explore outsourcing in Asia as a potential response to the topical value chain productivity and cost reduction challenges. Outsourcing in Asia also leverages opportunities presented by the region’s high-growth markets and the growth in Asian pharmaceutical expertise. We discuss the key considerations for companies facing outsourcing and expansion decisions involving Asia. We also rank individual territories within the region against cost, risk and potential market opportunity criteria with a focus identifying hot spot investment locations.	September 2008
IFRS issues and solutions for the Pharmaceutical and Life Sciences industries: Vol I & II updates This report updates the 2004 and 2005 editions of “IFRS issues and solutions for the Pharmaceutical industry”. The objective of this update is to provide greater clarity on the IFRS accounting treatment definition and interpretation for a number of industry-specific commercial issues and transactions emerging following implementation of the standards in 2005.	April 2008
IFRS issues and solutions for the Pharmaceutical and Life Sciences industries: Vol III Partnering with another company is often the answer to long-term financing problems faced by life science and biotechnology companies or by pharmaceutical companies to the loss of patent protection and the need to adjust to the new ways of performing research. This paper discusses how both parties involved in partnerships should account for such agreements, written primarily from a revenue recognition standpoint. The publication represents a first step in trying to establish a common platform or framework for evaluating licensing and development agreements.	February 2008
US GAAP issues and solutions for the Pharmaceutical and Life Sciences industries Accounting under US GAAP continues to evolve. With a growing demand for greater transparency and heightened regulatory scrutiny, the need to ensure correct accounting treatment for transactions has never been greater. At the same time convergence with IFRS is becoming a reality. Many non-US companies have already transitioned to IFRS and the SEC may provide US companies with a similar opportunity to transition. In this report, we examine the industry-specific accounting issues faced by the companies in the sector and our opinion on the most pertinent accounting treatment under US GAAP.	December 2007

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