2013: Pharma industry's most productive innovators recognised

Johnson & Johnson has topped a list of the most innovative global pharmaceutical firms, according to an industry-leading consultancy. IDEA Pharma has just released its third annual Productive Innovation Index (PII), which ranks top pharma companies based on their ability to successfully commercialise new molecules.

The Index measures and scores the firms’ ability to deliver innovation to market, by objectively measuring their performance using publicly available data based on a five year period (2007-2012).

Last year Amgen took the top spot with Johnson & Johnson ranking second, but it has risen to first place thanks to significant developments over the past 12 months.

Breaking up is getting easier for pharmaceutical companies.

LONDON, Feb 14 (Reuters) 

Recent restructurings by Pfizer and Abbott Laboratories have set the pace for others as investors applaud the unlocking of value trapped inside large drugmakers. The success of deals such as Abbott splitting off its innovative drugs into AbbVie and Pfizer's spin-out of animal health into Zoetis has increased the pressure on other boards to consider smarter corporate structures.

 

"We will see more," said Jeff Greene, head of life sciences transactions at Ernst & Young. "It doesn't mean we are not going to see a lot of merger and acquisition activity as well, but there is going to be a focus on rationalising portfolios."

Two factors are driving the trend: the changing nature of the market - which demands different offerings in different countries - and a more rigorous approach to capital allocation, prompting firms to carve out some areas while adding others.