Like the merger of Merck and Schering-Plough, this union wasn’t built primarily on one drug, but rather, built on a large library of drugs that would help shore up Pfizer’s deteriorating IP. The patent cliff was just around the corner at the time, and garnering Schering-Plough’s vaccines, biologic, veterinary drugs and Alzheimer’s projects added depth as well as breadth to Pfizer’s portfolio.
Yes, this acquisition has paid off. It’s been tough to see it, but the cost-savings have mostly been realized, and Pfizer’s somewhat circumvented what could have been a patent cliff disaster.
As of this writing, James Brumley did not hold a position in any of the aforementioned securities.