Interesting Article Hello Gilead/Barclays we are here :-) ...See highlighted points below
https://www.fiercebiotech.com/biotech/barclays-loses-patience-gilead-tells-it-to-change-up-its-strategy Essentially, Barclays says Gilead should look to deals outside of the core areas of virology, oncology and inflammation.
It also wants to see deals that are more financial than strategic, or deals where value is added commercially; so not necessarily in phase 3 trials, but perhaps more for regulatory/manufacturing purposes.
Barclays has some advice on what deals it should be making: “We think that the orphan business model fits well within Gilead’s cost structure, adding that diversification outside anti-virals would help boost investor confidence.”
This specifically could include, the firm says, orphan areas such as aHUS (currently catered for by Alexion’s Soliris) or cystic fibrosis.
It also favors a deal “that is much more pipeline-driven,” would be well-received, but “also carry substantial clinical risk.”
But the firm thinks this trade-off would be worth it if there are “multiple mid-to-late-stage development opportunities,” and an “underlying business beyond the pipeline that could benefit from scale.”