Teva Pharmaceutical Industries Ltd's (Nasdaq: TEVA; TASE: TEVA) acquisition of Cephalon Inc. (Nasdaq: CEPH) is causing far-reaching changes in Teva's brand drug operations. Sources inform ''Globes'' that Teva plans to set up a venture capital fund to invest in Israeli drug development companies.
Teva Innovative Ventures head Dr. Aharon Schwartz will be responsible for investing in start-ups and reaching licensing agreements with universities as part of the company's effort to expand its pipeline of innovative drugs.
Teva has already invested in several Israeli drug development start-ups. Investing through a corporate venture capital fund, rather than directly, has significant implications. A venture capital fund will be a legal and corporate entity separate from Teva. This should ease fears of potential target companies that accepting money from Teva might deter other potential investors.
Stay on top of the news - get the Jerusalem Post headlines direct to your inbox!