The Valuation of Pharma Patents

The pharmaceutical industry discovers, develops, produces, and markets drugs or pharmaceutical drugs for use as medications to be administered (or self-administered) to patients, with the aim to cure them, vaccinate them, or alleviate the symptoms. Pharmaceutical companies may deal in generic or brand medications and medical devices. They are subject to a variety of laws and regulations that govern the patenting, testing, safety, efficacy and marketing of drugs.In the pharmaceutical industry, the patent protection of drugs and medicines is accorded a particular importance, because drugs and medicines can easily be copied or imitated (by analyzing a pharmaceutical substance) and because of the significant research and development spending and the high risks associated with the development of a new drug. The healthcare industry is also very sensitive and hyper-regulated.The analysis of the business model is a pre-requisite for its appraisal. The evaluation depends on the prioritizing identification of the crucial value drivers