ISIS Pharmaceuticals, Inc. (ISIS) Scores Another Big Biotech Deal With Biogen Idec Inc. (BIIB)

Blocking or silencing genes doesn’t have to be limited to rare diseases, either. AstraZeneca plc (ADR) (NYSE:AZN) coughed up $31 million up front for up to five antisense cancer drugs to be developed with ISIS Pharmaceuticals, Inc. (NASDAQ:ISIS). It was one of many deals — acquisitions and R&D — that AstraZeneca plc (ADR) (NYSE:AZN) inked in the past three years. If the program progresses out of the early stages, it could pay dividends for the big pharma. That can’t come soon enough for investors, who are looking optimistically toward the long-term given the lack of preparation in dealing with the patent cliff. Could antisense save the day?

Foolish bottom line

It goes without saying that Biogen Idec Inc. (NASDAQ:BIIB) is sold on the potential of Isis’ antisense technology platform. Why else would it commit to (potentially) shell out several billion dollars in milestones and royalties in a best-case development scenario? I believe this is good news for investors, and, given the large financial commitment for Biogen Idec Inc. (NASDAQ:BIIB), it may make more sense to swallow Isis down the road. Either way, investors should look at these developments with a big-picture view. The risk-to-reward balance for RNA-based and antisense gene technologies continues to become more favorable for your portfolio with each new development.

The article Isis Scores Another Big Biotech Deal With Biogen originally appeared on Fool.com and is written by Maxx Chatsko.

Fool contributor Maxx Chatsko has no position in any stocks mentioned. Check out his personal portfolio, his CAPS page, or follow him on Twitter @BlacknGoldFool to keep up with his writing on energy, bioprocessing, and biotechnology.The Motley Fool has no position in any of the stocks mentioned.

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