Singapore, Aug 30, 2010: With the objective to provide a forum to the pharma and biotech industry in Singapore to discuss and share the factors and challenges in merging of two companies, BioSingapore, an industry association for life sciences businesses in Singapore, held BioBusiness meeting on Aug 30, 2010, with D Patrick O’ Reilley, president of Licensing Executives Society International (LESI) and partner at Finnegan, Henderson, Farabow, Garrett & Dunner, Washington, DC, USA, to talk on the various aspects of structuring collaboration agreement.

“Mergers and acquisitions in biotech field is a known strategy, and this is the first time we have invited Mr O'Reilley to share his insight on the key aspects of merger of two companies, and the challenges that are faced after the collaboration. BioSingapore is always keen to provide a networking platform to the biotech industry, and we are looking forward to conduct similar programs in future,” said Mr Leigh Berryman, member, BioSingapore.  

Sharing his knowledge on collaboration of two companies, Mr O'Reilley mentioned, “Collaboration is one of the key activities in biotech industry. It is a business agreement of two or more companies in the same market that have complementary assets and skills, or that individually lack the ability to exploit a particular technology. It also includes a joint research and development in a field.”

Sharing his note on the challenges of culture difference that the acquired company may face, he said, “It is important to draft the agreement in a way that is adjustable to the small size company. However, a lot of process in mergers, reflects the structure of large companies that one cannot deviate from, and hence the smaller companies have to tolerate the cultural differences.”

Talking about the challenges that pharma companies in Singapore face during mergers, Berryman said, “the biggest challenge is knowing about the activities of the other company, and keeping a pace with them. In many instances, the companies lack bringing innovations in the business strategy, and hence they make extra effort to succeed. BioSingapore is aimed at providing them knowledge and information about the activities around in the industry so that they can utilize the resources.”