Skysis | CASE STUDY
Prioritizing Commercial Investments
01 | BACKGROUND
Skysis has worked with many clients who require assistance in prioritizing investment of commercial assets and pipeline projects. Skysis also assists clients with implementation of the process and methodology necessary for consistent future assessment.
02 | CHALLENGE
When prioritizing assets for investment, disproportionate focus is often placed on near-term risks such as clinical development failure, regulatory approval pathway, and patent cliff. Moreover, companies often introduce bias into these assessments by favoring legacy assets and pipeline projects that best match a company’s current identity. In many cases, variables that have a material impact on asset prioritization and valuation are overlooked or under-researched including: i) changes in the competitive landscape of a therapeutic category; ii) challenges associated with how payers are and will be managing a therapeutic category; iii) relevant launch demand curve analogues and time to peak-year sales; iv) leverage of commercial infrastructure; and v) the value of diversification across multiple therapeutic categories.
03 | METHODOLOGY
Skysis commercial strategy professionals implement a balanced methodology, independent of bias, when assisting clients with portfolio investment decisions. Clinical development risk, regulatory approval pathway, and patent exclusivity are important variables, balanced with prospective competitive landscapes, patient journey sketches, and payer reimbursement scenarios. Skysis analyzes both asset discounted cash flows (eNPV), and the overall enterprise value (EV) of investment decisions in our recommendations to management that have a material impact on comparative discounted cash flow analysis.
04 | OUTCOME
Skysis’ clients are provided with comprehensive, independent, and unbiased recommendations to support key investment decisions. These investment decisions impact the evolution of corporate strategy and identity.
