Billionaire investor Carl Icahn's Icahn Enterprises LP (NASDAQ: IEP) announced last Wednesday the hiring of pharma academician Richard Mulligan as a
portfolio manager. The announcement has set tongues wagging about Carl Icahn's renewed interest in the pharma/biotech sector.
In a release distributed via the Global
Newswire, Icahn Enterprises said, in part: "Mulligan is currently the Mallinckrodt Professor of Genetics, Emeritus, at Harvard
Medical School, and Visiting Scientist at the Koch Institute for Integrative Cancer Research at MIT. Previously, Professor Mulligan
was the Mallinckrodt Professor of Genetics at Harvard Medical School, and Director of the Harvard Gene Therapy Initiative, an
integrated effort amongst basic science and clinical investigators at Harvard University and its Affiliated Hospitals directed
towards the pre-clinical and clinical evaluation of novel gene-based therapies for inherited and acquired diseases."
Mulligan's Credentials
Mulligan graduated from the Massachusetts Institute of Technology, or MIT, and received his doctoral degree from the Stanford
University, School of Medicine. He returned to the MIT to do his postdoctoral training at the Center for Cancer Research.
Subsequently, Mulligan took up faculty position at MIT and later moved to Harvard and then to Children's Hospital. He is also the
recipient of several awards and accolades.
Mulligan's tryst with Wall Street commenced when he was drafted into the boards of several pharma and biotech companies or
appointed as their consultant. He has also served on an FDA Committee. In 2013, Mulligan founded Sarissa Capital Management.
Icahn's Way With Public Companies
Historically, Icahn has had run-ins with pharma and biotech companies, as he identifies companies mired in controversies or are
plagued by fundamental problems. He then builds up stake in these companies and clamors for board representation. Icahn would
either force these companies to adopt strategies he deems as fit or seek board representation, through which he can accomplish what
he has set out for. In some cases, the corporate raider would force the companies to sell themselves.
Related Link: Carl
Icahn's Track Record In Big Pharma
Icahn's Holdings Based on Q4 13-F Filings
Icahn's recent holdings revealed through 13-F filings for the quarter
ended December 31, 2016, show that it is thin on pharma/biotech stocks. His holding in Allergan plc Ordinary Shares (NYSE:
AGN) formed just 3.9 percent of his portfolio.
Reports of Icahn
picking up a substantial stake in Bristol-Myers Squibb Co (NYSE: BMY) emerged only recently.
Source: Seeking Alpha
In 2015 and in 2014, Icahn had a stake in Enzon Pharmaceuticals Inc (OTC: ENZN) and in the year earlier, he had stakes in Enzon and Forest Laboratories,
Inc.(NYSE: FRX). Meanwhile, in 2010, Icahn's holdings
in the healthcare sector included Genzyme, which has since then become a part of Sanofi SA (ADR) (NYSE: SNY), Biogen Inc (NASDAQ: BIIB), Regeneron Pharmaceuticals Inc (NASDAQ: REGN), Forest Labs, Enzon and Exelixis, Inc. (NASDAQ:
EXEL).
With Mulligan in his fold, Icahn might once again be aiming to go full throttle on the pharma/biotech space. Pharma/biotech
companies beware, this activist investor could come raiding you.
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