BioMarin stock seesaws as rumors of buyout swirl around San Rafael biotech company
By Richard Halstead
Rob Eyler, CEO of the Marin Economic Forum and an economics professor at Sonoma State University, said, “If this happens, it’s not going to be an absolute shocker.”
Eyler said as BioMarin continues to grow, “There are going to be suitors that are going to sniff around for potential deals, especially given the size of their workforce, their proximity to the city and niche market in which they play.”
Founded in Novato in 1997, BioMarin specializes in the development and production of “orphan drugs,” or medications that treat rare diseases. In January 2012, BioMarin moved its headquarters to downtown San Rafael and in 2013 it purchased the San Rafael Corporate Center for $116.5 million. It is currently building a three-story, 85,000-square-foot research and development facility at 791 Lincoln Ave. and a parking garage with 649 spaces at 788 Lincoln Ave.
“It’s not surprising that companies are looking at acquiring them,” said Chris Stewart, Novato’s economic development manager.
Eyler said if Shire or some other company were to buy BioMarin and relocate its operations elsewhere it would be a “big blow” to an initiative spearheaded by the Marin Economic Forum, the city of Novato and the Buck Institute for Research on Aging to make the North Bay a hub for biotech/life science businesses.
Eyler, however, said the investment BioMarin has made in facilities in San Rafael will make it difficult to relocate the company anytime soon.
“Even if they were acquired, it would probably take years to unwind,” he said.
Stewart said he doubts BioMarin would relocate its manufacturing operations in Novato due to the time and effort it requires for biotech companies to get such facilities approved by U.S. Food and Drug Administration.
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