As healthcare reform hits a historical turning point (for better or worse), Jim Edwards at BNET Pharma reminisces about some of the most screwed up drug companies’ in 2009.
They’re a nice reminder of how dangerous investing in drug companies can be. You really never know what kind of huge, random disaster is going to pop up.
Such as this:
Genzyme (GENZ) – Your company holds a monopoly on a drug for Gaucher’s disease. It’s a licence to print money. How do you screw this up? Do what what Genzyme did: Introduce a bunch of garbage — literally bits of rubber and metal — into your drugs. Have this come after one of your sites was infected with a virus. Get two new drugs rejected by the FDA and have a third one dropped during R&D. Meanwhile, make sure your CEO spends the year enriching himself with a $10 million stock sale on top of $50 million in compensation over the previous three years. That’s why Genzyme ended the year with Genzyme’s founder calling for CEO Henri Termeer to resign.