February 10, 2009
Lundbeck will acquire Ovation Pharmaceuticals for $900 million, giving the Danish company a US commercial platform, specialty sales force and late-stage pipeline prospects as it prepares for the 2012 expiration of patents on Lexapro, its main product, which it comarkets with Forest Labs. Like Lundbeck, closely held Ovation, based in the Chicago suburb of Deerfield, IL, is focused on CNS drugs, with an emphasis on niche markets with high unmet medical needs.
Demonstrating just how badly advertising agencies are suffering from the recession, Omnicom Group reported that fourth-quarter net income was down 13.7% to $271 million from $313.9 million for the period a year ago. Full-year net income was up 2.5% to $1 billion, and worldwide revenue for the full year was up 5.2% to 13.3 billion, year-on-year. The holding company did not break out how its healthcare units, including names like Cline, Davis & Mann, Corbet Accel and TBWA WorldHealth, are faring.