Kyle Bass Ousting High-Priced Pharma Heavyweights For Cheaper Drugs, Propaganda?
American hedge fund strategist/business mogul, Kyle Bass filed a petition, requesting an investigation into Biogen Inc. Tecfidera dimethyl fumarate-based drugs. Bass questions the integrity of multiple affordable sclerosis drugs patents as disclosed in his IPR (inter partes review) petition to the U.S. PTAB (Patent Trial and Appeal Board). It’s standard protocol to submit an IPR when challenging the integrity of any form or type of U.S. patent. The USPTO (United States Patent and Trademark Office), which is the agency governing all registered inventions also mediates cases of noncompliance.
CNBC reported Bass formed an agency namely the CFAD (Coalition for Affordable Drugs). It presents suspicious patent cases before the USPTO, in the interest of validating their integrity. His agency targets any size pharmaceutical companies. It’s contested cases against countless industry heavyweights, including prominent pharma vendors, Acorda Therapeutics, Inc., Celgene Corporation and Jazz Pharmaceuticals plc. PTAB reports that Bass filed 33 IPR as of October last year, of which 17 were actionable and 10 dismissed. The evidence Bass presented to the agency is indeed convincing and warranted redress as PTAB explained in a report. Bass arguments addressed dosage requirements for patients receiving treatment for autoimmune diseases. Unfortunately, the U.S. PTO dismissed his latest inquisition to challenge Acorda Therapeutics, Inc. sclerosis drugs.
The rejection comes with some amount of prejudice as governing bodies, the USPTO included are looking into hedge fund foreplay. Allegedly, hedge funds are applying downward pressure to discredit pharmaceutical companies in favor of influencing stock prices. The wave of drug patent challenges ensued in the last year does give merit to the stories. Stock prices for pharma industries, including Acorda have dropped to as much as 10% following the IPR by Bass.
Hayman Capital president/founding father, Kyle Bass, infamously known for predicting the disastrous subprime mortgage collapse in 2008 is a prolific hedge fund strategist/investor. The former Miami, Florida resident relocated to the city of Dallas, Texas with his dad, a then-hotelier of Fontainebleau. Bass currently holds a business administration BA degree. He has specialization in real estate finance and general finance. He’s a graduate of the Forth Worth-based educational institution, Texas Christian University.
Besides the subprime mortgage collapse which cemented Bass career as an investor, he’s predicted several other revelations. This includes the economic fate of Argentina and Japan. Additionally, he’s forecasted a titanic debt crisis for Europe. He’s held numerous executive roles within organizations and financial firms before incorporating his own consultancy. At 28, Bass began his career with Bear Stearns as the company’s managing director (senior).
This was actually his last employment before he launched Hayman Capital. It’s now become a global hedge fund brand with a specialization in investment management.