This week's tweet of the week comes from Frank David, who points out a fact he learned in an article by Matthew Herper: Over half of companies that got a drug approved by the FDA from 1950 to 2011 did so only once.
In the following video, senior biotech specialist Brian Orelli and health-care bureau chief Max Macaluso discuss the implications. While it could mean that biotechs have trouble getting a second drug approved, it's likely that many of them got acquired before they had the chance. GlaxoSmithKline (NYSE:GSK), for instance, bought its partner Human Genome Sciences after it got its lupus drug approved. And Celgene (NASDAQ:CELG) bought Abraxis for its cancer drug Abraxane before the biotech could use its platform to get additional drugs approved.
Looking at the current crop of one-drug wonders, Medivation (NASDAQ:MDVN) is an attractive company whether it continues alone or gets acquired by its partner Astellas Pharma. Watch the following video for more of Brian's and Max's thoughts on Medivation.