Omnicom Group Inc. and Publicis Groupe SA Merge
Omnicom Group Inc. and Publicis Groupe SA merged recently combining a 2012 revenue of $22.7 billion in communications, marketing, advertising and digital services. Publicis Omnicom Groupe is now home to agency brands such as Saatchi & Saatchi, Rosetta and Leo Burnett. CEO Maurice Lévy stated the merger was inevitable, as both companies took notice of the evolving drastic changes in the development of new media and consumer behavior. The merger is expected to create significant value for shareholders and the future scalability and internal synergies of the combined company are expected to generate efficiencies of $500 million.
AbbVie Raises EPS in Second Quarter
AbbVie, a research-based biopharmaceutical company that globally markets and develops therapies for serious diseases, raised its 2013 earnings-per-share from an adjusted basis of $3.07 to $3.13 ($2.66 to $2.72 on a GAAP basis). Transitioning to an independent company earlier this year, AbbVie reported a second quarter adjusted earnings-per-share of $0.82.
According to a statement released by Chairman Richard A. Gonzalez, the company increased the EPS for 2013 due to “better-than-expected sales growth.” Growth was driven primarily by Humira at an increase of 16% and the growth of dermatology and gastroenterology.
Pfizer Announces Internal Divisions Within Company
Pfizer is planning to make internal changes by separating its commercial operations into three separate business divisions. Innovative business lines will absorb two of the three business segments specializing in therapeutic areas, and a Value business line—focused on Vaccines, Oncology and Consumer Healthcare—will deal with the company’s most lucrative products—along with providing patients access to lower-cost treatments.
New England Journal of Medicine Forms NEJM Group
The New England Journal of Medicine (NEJM) and NEJM Journal Watch have formed the NEJM Group, which allows both parties to use existing and future publishing resources from the Massachusetts Medical Society. According to the NEJM Group, they plan on “making the connections between developments in clinical science and clinical practice.” The group hopes to deliver a wider range of high-quality medical resources to a growing educated audience by redesigning and rebranding NEJM Journal Watch to JWatch.org, which will be mobile optimized, with enhanced content and easy navigation.
MicroMass Applies Behavioral Science as Pre-Commercial Strategy
MicroMass, an agency specializing in digital and relationship marketing, created the MicroMass Medical Communications Group, a pharma marketing department that applies behavioral science as a pre-commercial strategy. The company challenges traditional clinical data by engaging with patients and sleuthing prior experience with medications and other outside variables.
Generics Drop Merck Profits by 50%
Merck’s second-quarter net income was cut in half from $1.79 billion to $906 million due to generics, acquisition costs and exchange rates. Top selling medications, such as Singulair, Maxalt, Propecia and Clarinex have all plummeted due to the rise of generics. Sales for the next fiscal year are expected to be 5% below the previous year’s profits, in which sales already dropped 2%, amounting to $47.27 billion.
Inspire Launches Online Support for PNET Patients
Inspire has joined industry leaders with those affected by pancreatic neuroendocrine tumors (PNET), creating the first global online community for peer-to-peer support for those affected by PNET. The new PNET Support Community is an online platform at which patients and caregivers can exchange information and provide support.
Amgen Acquires Onyx Pharmaceuticals
Amgen reached an agreement to purchase Onyx Pharmaceuticals for $10.4 billion. Amgen will benefit from the global rights to Onyx’s innovative oncology portfolio, including Kyprolis (carfilzomib) for Injection, a treatment at the early stages of launch for multiple myeloma. Onyx also has multiple oncology compounds in various stages of clinical development, which will add to Amgen’s growing pipeline.
