Australian Drug Upstarts Draw Investor Interest

A decade of government spending appears to be paying off for Australia's small but growing pharmaceutical sector, offering one route for the resource-rich nation to reduce its dependence on mines and tankers.Global pharmaceutical makers are striking deals and alliances with smaller Australian upstarts as they search for new treatments to replace expiring patents. Philadelphia-based private pharma company Iroko Pharmaceuticals LLC took over iCeutica Inc. in April for an undisclosed sum. ICeutica—which reformulates drugs to make them more effective—traces its roots to research done in the mining sector in Western Australia.