Alnylam Pharmaceuticals (NYSE:ALNY) is a biopharmaceutical company developing novel therapeutics based on a breakthrough in biology known as RNA interference (RNAi), which involves inhibiting the ability cells to make proteins from DNA. Alnylam founders pioneered the discovery of RNAi, and now the company is utilizing this technology to build an early-stage pipeline of drug products to treat a wide array of diseases. Key programs in the area of respiratory syncytial virus (RSV), Parkinson's disease (PD), cystic fibrosis (CF), and spinal cord injury round out the company s core focus. Alnylam generates revenues from research collaborations, grants, and licensing of the RNAi technology outside its core focus area. Alnylam has partnered with many big pharmas and large organizations, such as Novartis, Roche, Medtronic, The Mayo Clinic, the Cystic Fibrosis Foundation, and Isis Pharmaceuticals, to help fund preclinical and clinical work. Alnylam pronounced (al-NIGH-lam) went public in the second quarter of 2004. The company is headquartered in Cambridge, MA.
Along with Isis, Alnylam has spun of Regulus Therapeutics, which focuses on harnessing microRNAs for the treatment of various diseases. Regulus has partnered with GlaxoSmithKline to develop anti-inflammatory therapeutics.
In 2010, revenue remained consistent, as Alnylam's research collaborations remained consistent with the previous year. Alnylam's largest collaborations were with Roche Pharmaceuticals (RHHBY) and Takeda Pharmaceutical (TKPHF) at $56 million and $22 million, respectively. Operating expenses decreased 3% to $144 million, resulting in a lower net loss than in the previous year.
In September of 2010, Alnylam announced that its collaboration with Novartis AG (NVS) was ending. This collaboration earned Alnylam $9,313 in 2010 and, while Novartis will continue to pay milestone payments for the drugs that it develops from the collaboration, research payments between the two companies will no longer occur. Alnylam's ability to maintain cash flow and acquire new research deals will impact its long-term success and sustainability.
Alnylam currently has several drug candidates in development. If Alnylam is able to successfully develop these drugs through the clinic and gain FDA approval, its revenue model will be transformed. Such a success would greatly impact Alnylam's bottom line. Alnylam has the following drugs in development:
Alnylam is a contract research organization, providing drug research services for larger pharmaceutical companies. Alnylam competes with the following RNAi research companies: