The biopharmaceutical solutions industry is experiencing a boom – with the global Contract Research Organization (CRO) market expected to exceed more than $36 billion by 2020 and the Contract Commercial Organization (CCO) market expected to reach $34 billion by 20201.
It’s no longer just small biopharmaceutical companies that rely on outsourcing clinical trials and commercializing therapies; large-scale pharmaceutical, biotechnology, and medical device organizations look to CROs to run their trials and support their drug through its lifecycle.
In August 2017, two leading companies in this space announced a merger of equals: North-Carolina based INC Research, a public company and leader in the CRO space, and inVentiv Health, a private company including a global CRO and CCO. The merger created a global biopharmaceutical solutions organization with combined net revenue of more than $3.2 billion, now Syneos Health (NSDQ: SYNH). The company is now the second largest biopharmaceutical outsourcing provider and one of the top three CROs globally. During the merger, INC Research and inVentiv Health called on Axiom during the due diligence period to review both companies’ contracts to help better understand the scope of contractual obligations of the newly combined entity.
Axiom leveraged its Artificial Intelligence-assisted technology, available in Contract Intelligence Platform, to enable its team of contracts analysts to efficiently find, identify and review clauses in deal documents in selected contracts.
Contract data from the collected contracts was aggregated and loaded into Axiom’s Contracts Intelligence Platform, providing stakeholders visibility into individual provisions that they could quickly compare, removing the manual process of sifting through individual contracts.
The process simplified counterparty contract review as, once the proper firewalls and protections were put in place, both parties could separately access the contract data, conduct specific searches unique to their due diligence needs and interpret the results to inform decisions.
“Axiom’s approach to contract analysis applied AI-powered technology to surface the most important clauses in the highest-value commercial agreements, allowing a skilled reviewer to prioritize their time in the right places. Axiom’s technology, their Contracts Intelligence Platform, helped our team analyze and compare provisions across the two entities faster and at a lower cost than the status quo alternative,” Shaw noted.
The newly formed company officially relaunched in January 2018 as Syneos Health, so it was critical that the contract review process was streamlined and swift. For Purvesh Patel, EVP, Interim General Counsel and Corporate Secretary, Syneos Health, Axiom’s solution delivered.
“The biopharmaceutical solutions industry is growing; it’s fast-paced and competitive. We must re-evaluate every area of business to find more efficient ways to work – including identifying where we can improve process and add technology, which in turn will promote a more efficient in-house legal function,” said Patel.
1. INC Research and inVentiv Health to merge: http://newsroom.incresearch.com/phoenix.zhtml?c=25...