Corporate Counsel recently published an article written by Robert C. Funsten, Co-Chair of Brown Rudnick’s Global Life Sciences Practice and partner in the firm’s Corporate practice. The article, titled "Managing Their Way to a Blockbuster," discusses the importance of alliance management in drug company collaborations.
From the Article
"Collaborations are different than other transactions, such as acquisitions. When a company acquires another’s assets, each party acts and reacts unilaterally, with the interaction generally ending upon the acquisition’s closing date. But in a collaboration, neither party can achieve success without the other. The parties have to manage their relationship over time and deal with the unexpected. It’s a marriage with “prenups,” but no love. Effective governance is the glue that holds the relationship together and maximizes performance.
One size, however, does not fit all. Governance structures must be tailored to the concerns and attributes of parties to best achieve the collaboration’s goals. Differences between a large multi-national pharmaceutical company and a small development-stage biotech company illustrate the challenge."