A case study assessing the impact of M&A and licensing on FDA drug approvals of leading pharmaceutical companies

Despite a recent increase in FDA new drug approvals, leading pharmaceutical companies continue to face R&D productivity challenges. This highlights the need to better understand the context of their R&D concepts and related R&D outputs. Consequently, we conducted a systematic assessment of the impact of R&D expenditures, R&D intensities, mergers & acquisitions (M&A) deals and licensing agreements on new drug approvals of leading pharmaceutical companies between 2012 and 2021. Our analysis provides key insights into differentiating R&D factors: whereas R&D expenditures and the number of M&A deals correlate with the number of new drug approvals, our analysis shows no correlation with R&D intensity or the number of licensing agreements.

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Publication Details

Journal
Drug Discovery Today
Published
2025-02-01
DOI
https://doi.org/10.1016/j.drudis.2025.104306
Citations
3
Primary Topic
Intellectual Property and Patents
Type
article
Field-Weighted Citation Impact
8.28
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article

A case study assessing the impact of M&A and licensing on FDA drug approvals of leading pharmaceutical companies

Markus Hinder, Dominik Hartl, Alexander Schuhmacher, Oliver Gassmann et al.
3 citations
Drug Discovery Today
Intellectual Property and Patents
8.28
article

A case study assessing the impact of M&A and licensing on FDA drug approvals of leading pharmaceutical companies

Markus Hinder, Dominik Hartl, Alexander Schuhmacher, Oliver Gassmann, Kyrylo Grinchenko
article en
3 citations

Abstract

Despite a recent increase in FDA new drug approvals, leading pharmaceutical companies continue to face R&D productivity challenges. This highlights the need to better understand the context of their R&D concepts and related R&D outputs. Consequently, we conducted a systematic assessment of the impact of R&D expenditures, R&D intensities, mergers & acquisitions (M&A) deals and licensing agreements on new drug approvals of leading pharmaceutical companies between 2012 and 2021. Our analysis provides key insights into differentiating R&D factors: whereas R&D expenditures and the number of M&A deals correlate with the number of new drug approvals, our analysis shows no correlation with R&D intensity or the number of licensing agreements.

Drug Discovery TodayVol. 30(3)
Novartis (Switzerland) (CH), University of Basel (CH), University of St.Gallen (CH), Technische Hochschule Ingolstadt (DE), Novartis Foundation (CH)
Openalex Percentile: Top 4%
Intellectual Property and Patents
8.28
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