Diabetes type 2: juicy bite for Big Pharma. Part 2

The potential of the market was already described. A couple of news regarding diabetes type 2 products: first about Amylin:

Amylin Pharmaceuticals Inc. (AMLN) (AMLN), the diabetes drugmaker that has put itself up for sale, received offers from Sanofi (SAN) and Merck & Co. in an initial round of bidding, said three people familiar with the process.

The companies made bids of at least $25 a share, said the people, who declined to be identified as the deliberations are private. That would value Amylin at more than $4 billion, based on its shares outstanding as of April 26. Offers were due yesterday for the San Diego-based company, whose medicines include Bydureon and Byetta, the people said.

Takeda Pharmaceutical Co. and Bristol-Myers Squibb Co. (BMY) (BMY) indicated to Amylin they also would make bids, the people said. Amylin began looking for suitors with Credit Suisse Group AG and Goldman Sachs Group Inc. after rejecting a $3.5 billion offer from Bristol-Myers this year, people with knowledge of the matter said last month.

$4 billion… $3.5 billion… Well, I think it is extremely high price just for one product! And $1.5 billion in annual revenue:

Amylin received approval in January for Bydureon, a once- weekly formulation of its earlier medicine Byetta, and the drugs may draw $1.5 billion in annual revenue in the next few years, said Phil Nadeau, an analyst with Cowen & Co. in New York.

And the next about GSK:

GlaxoSmithKline Plc (GSK) will reveal detailed results today on an experimental treatment for diabetes that’s part of the reason for a $2.6 billion hostile takeover bid for Human Genome Sciences Inc. (HGSI), its partner on the drug.

“Glaxo’s drug is reasonably likely to partake in a very big and dynamic market,” Amusa said in an interview. “So even if it is a later entrant, it’s still one that can do quite well.” He estimates sales may reach 453 million pounds ($712 million) in 2018.

About 552 million people, or one in 10 adults, may have diabetes by 2030, compared with about 366 million now, if nothing is done to curb the epidemic, the International Diabetes Federation said in a report in November. As many as 183 million people have the disease and don’t know it, the Brussels-based federation said.

Not bad. Very motivating numbersJ