Investing in Biotech for the last twenty years teaches someone the joys and sorrows of a nascent industry that has seen dizzying heights and abysmal lows in the intervening two decades. As far as an industry is concerned it’s a baby, and when compared with the popularity of it’s brethren — the Internet and Computer Science, as well as Artificial Life and Artificial Intelligence — Biotech is a complete stranger to public appeal. And that’s why its hard to share it’s romantic Promethean promise for humanity, especially now, since a couple of bad apples dominate the news with their daft approach to the promise of new Life…
Having invested in more than 50 Biotech companies, and having been involved as an early co-founder in the StartUp phase of all of them — apparently I’ve gotten some knowledge about what’s what in the space. And I’ve also got the scars to prove it…
It’s been brutal…
Yet the Future looks promising, by necessity, because Biotech much like any other essential Technology can be used for good or for bad, and eventually we harness the Good and minimize the impacts of the negative. Yet we need to do this in earnest because in order to address some rather potent and basic needs we’ve got, we should invest in this nascent science with humility, equanimity, and reverence. Same as with any other revolutionary and Life altering as well as Life threatening scientific advancement. We need some clear and precise rules of Bio-Ethics, because the Biotech Revolution started without any real rules.
In science time, the biotechnology revolution was started in 1980. And the first decade doesn’t count because it was just hype and hope…
Yet from 1990’s it rocketed forward. It became the darling of the Street and the lamentable scapegoat. Often both at the same time and all together in the space of a day or a week.
And on it’s promise to deliver new life? It hasn’t really. Not yet anyway… So what is this Biotech industry? Is it a Devil or an Angel?
I say it’s naturally both and both at the same time…
And the swinging stock prices and wild IPOs continued to follow and often lead the swells. That much Rocking n rolling hasn’t been seen since ‘the King’ threw out his hips swinging the Elvis-pelvis and suggesting a rather sexual dance wooing all women on sight…
That much you probably know.
But what you might not know is that this Biotech thing, the so called revolution — it nearly didn’t happen, because it was stilted at birth…
The very first commercial effort wasn’t being justified because a patent examiner rejected General Electric’s application for a United States patent on a bacteria developed by Ananda Mohan Chakrabarty. A simple bacterial life form, that was capable of breaking down crude oil. A very helpful bacterial application for oil spills and other hazardous situations that demanded the removal of toxic oil from the sea and water…
GE didn’t agree with the US Patent Office’s rejection to award the sought after patent, ruling and it sued. And it was rejected again. So it appealed…
The first appeal was lost by GE, but the second was won.
The case ended up on the Supreme Court docket where justices ultimately ruled 5 to 4 that that a living, human-made micro-organism is patentable subject matter. The precedent became the point of reference for years to come.
Suddenly, the race was on to patent new genetic modifications to existing organisms and to isolate and modify variations of human DNA and proteins…
Over the last three decades, we’ve seen an explosion of patents on modified and engineered bacteria, viruses, isolated and manipulated human cells, plants, genomes, DNA and RNA sequences, and even entire animals. It has created countless opportunities and redefined entire companies. Now we are producing new life forms to create sustainable algae for energy purposes. About 130 patents are on the new algae forms produced in order to create blue oil…
Yet some applications are not so benign. I’m sure most of you have heard about Monsanto, but how many of you are aware this company has been around since 1901? In the beginning of the century, they made garden chemicals, fertilizers and herbicides but also had a very profitable side business making nerve gas and mustard gas, tear gas and the like, for the First World War, and thus are responsible for many thousands of deaths. Their campaign of death continued at an increasing rate. By the 1940s, Monsanto was a leading plastics and chemical producer… doing the stupidest things around and as a side business they manufactured Zyclon gas to exterminate people in the Nazi concentration camps in an efficient industrial fashion. Cooperating with the Nazis to kill people by spraying and suffocating them with killing gas, like so many cockroaches is unquestionably the height of EVIL. Monsanto since then continued to produce the nastiest of chemicals and since most people won’t voluntarily inhale Zyklon B gas, you have to round them up forcibly and put them in NAZI run concentration camps in order to round them up and kill them with this nasty gas. Many Millions of innocent people perished this way. And Monsanto bears the burden of responsibility for providing the chemical weapon that was used against these children, women and menfolk, whose only mistake in Life, was an accident of DNA. They were born Jewish, Gupsy, Roma, Greek, dark skinned, suffering from Down syndrome, or simply being less than perfect. Or they had to die off because of an accident of race and ideology, or illness, or being Freedom lovers, Partisans, or Christian priests who really believed in a loving Jesus sharing his gospel and loving all children of God, or just the rebellious sort from nuns and resistance fighters, to simple honourable human beings who stood up and said No. Enough. We are better than that…
The Nazis killed all of these beautiful human beings with the help of Monsanto and other evil companies out there.
Over the last century Monsanto increasingly spread their killing game around the world, always upping the ante, and increasing the numbers of people killed in a geometric fashion.
And now Monsanto wants to be trusted to control our Food supply?
What a bunch of Morons these Monsanto company guys are… And they are simply CRIMINALS. Nasty Criminals practicing major crimes against humanity in perpetuity. Criminals with white coats and expensive offices and laboratories. Yet criminals all the same. Major criminals and twisted minds like their extreme ideological leader at the time, Dr Menghele, the Monsanto board and the executives in charge ought to have been tried and found their way dispatched swiftly to the ultimate justice chambre. Speaking to the guys above: The no BS allowed heavenly abode of Justice where the little scrawny long haired kid named Jesus reigns… Am sure he knows what to do with that lot…
And their company should have been disbanded long ago. With such evil heritage in their DNA they shouldn’t be part of the present of Biotech but simply relegated to the dustbin of history in the rogues gallery as a cautionary tale to future Business leaders. But here they are with us today spreading their Evil once again.
Yet the people know them for who they are. Even when they get preferential treatment and protection from government bodies like they managed to get from the US Congress today… No Worries — they will soon be found guilty in the court of Public Opinion and their brand will be assassinated surely. Just see the Millions of people who rally around the world this March against Monsanto and their death sharing chemistry and their evil form of Seed Biotech for profit, and you’ll understand.
We should boycott them and shut them down. No responsible Investor should hold their equities. No ethical trader should support their stock or even handle it. That’s how you address evil. Freeze the Moffos out. Because this company does Evil around the world, regularly. Regularly and with precision like clockwork. Recently their claim to fame was another nasty killing chemical gas that exterminated all Life. it was a herbicide called innocuously, agent orange. Borrowing from their Zyclon B people killing gas expertise, they produced another modern version of the stuff. They called it euphemistically a ‘herbicide’ but it was really a ‘Kill All Life’ compound because it simply exterminates all life in it’s path. And in the 1960’s they produced massively this Agent Orange, chemical in order to be used against the people in Vietnam. Except they said it was to be used against the plants… Do they expect anyone to believe that?
Back in the old Adolf Hitler days of their glory, the Monsanto executives and board called the Zyclon B gas, a fumigating agent. Do You see the pattern here?
And in their Vietnam profit making Agent orange, they succeeded in killing Millions of innocent people all over again. People whose only crime and serious mistake was to have been born little dark & poor South East Asian children living in the midst of a daft conflict between Economic ideologies. That’s why I say: Beware the Ideologues are coming every time I meet a ‘ True believer man’ of Economics, or Religion, or Science, or Political belief or any kind of self righteous bastard.
Same like the Monsanto bastards who believe they can be allowed to manufacture and control any kind of substance for profit. Their ways are EVIL and judging by the Vietnam experience with Agent Orange being sprayed from up above, they are responsible for Millions of people’s deaths – directly or indirectly.
In 1983 Monsanto entered the biotech sector and patented modifications to plant cells with the aim of creating soft-kill weapons of seeds and entering them in the food supply of the world. The implications of this early move have come to define the entire corporation, and their record for being the worst corporation on Earth. Their ability to manufacture and spread death and evil is unparalleled. They have killed a good percentage of the Bees across the globe already and are now going after the rest. Why? Because their evil food seeds do not need the bees and by depriving all natural seeds of the Bee pollinators they can ensure that the farmers will have no option but to buy their seed stock. They don’t care that they will thus disseminate Billions of people through famine when all agriculture fails. Nor do tehy care about the collapse of nature when the great Bee pollinators are not around anymore to rejuvenate the grasses, the trees, the flowers, the meadow fuzz and the prairie grass, or the Savannah Greens, nor your garden flowers, all around the globe… All that stuff and the primary forests, that constitute the living skin of our planet…. They will all die off and then the people will follow on the death trail and the path of tears to extinction, simply because of Monsanto’s wish to control the food supply totally, efficiently, and effectively.
Of course we shall allow for this to pass…
Eating death GMO seeds from Monsanto is their weapon of choice to kill people — in their soft-kill arsenal, euphemistically called: genetically modified organisms (GMO). Because the Monsanto GMOs are engineered with a toxic pesticide chemical that grows right inside the kernels of the corn. So when you eat the corn, you ingest the same poison that kills the insects that feed on that corn. Bees of course are included since they are incects that go to all the flowering plants to perform their pollination and life giving journey. Something dies inside of me by simply writing this or saying it outloud each and every time. Forget about eating it…
And if you want to find out what it does to humans — just visit Vietnam today and find out how many Millions of people died from the spraying of Agent Orange, that was supposedly only used to kill the leaves off of trees…
Or just ask any honest Doctor if he would give his kids GMO food to eat. That should tell you what’s what.
But what does this GMO poison included in the Monsanto seeds do to humans? Am sure that we’re about to find out in the years ahead, but in rats fed a lifetime of GM corn, they develop grotesque, deadly cancer tumors at an alarming rate.
This is where You can learn more and see the photographs of the lab animals that suffer so much so that we don’t have to:
The evil genius of GMOs is that if you can hide them in the food supply, people will eat themselves to death and never know what caused their death. After all, the USDA and FDA say GMOs are safe, so it must be true, right?
GMOs are sort of like a “friendly” version of Zyklon B that you can use in pancake batter and muffins. It’s in your breakfast cereal and lunch boxes. GMOs deliver a little bit of death in every bite, and while they don’t kill you right away, the effects build up quietly, cumulatively, until you’re a walking time bomb of cancer and death.
Do you see the regular 20 year pattern of Monsanto delivering their Evil schemes like a Swiss Cuckoo clock every couple of decades and always coming up stronger to perform more evil?
1900 -1920 – 1940 – 1960 – 1980 – 2000 etc
So Monsanto has caused Revulsion towards Biotech to a good many people. Even technologically savvy folks and Internet dwellers and Digital Literati are all against Biotech because of Monsanto and a couple of it’s companies doing massive Evil.
So the promise of a Biotech Revolution has turned into Biotech Revulsion and this is another time that the nascent industry might be eclipsed in this disastrous nightmare of the Monsanto Evil shit parade…
Yet we are Optimists and Positive people and ought to look at the positively Bright side of Life and Biotech in particular.
So we’ll talk of another story of Good Biotech — this time a story of the Good Guys doing cool, humanity serving work for the benefit of us all.
Because the Biotechnology sector must go on without regard to the Big bad Apple called Monsanto, and their brethren Evil boys. We’ll stop them surely using the power of the people and the power of just laws. Yet we need to rescue the Science they have so badly damaged and given it a Bad name. And patenting genes and artificial life forms isn’t a bad thing either if it helps us commercialize successful iterations of paradigm shifting useful products, to heal, to feed, to energize, and generally to help humanity and the environment. Am saying this because later applications of Biotechnology started to define the precedent for allowing human-based genetic patents in a rather positive way.
In 1998 the U.S. patent office allowed a broad patent on primate stem cells. In 2001 a second patent exclusively focused on human stem cells was approved…
There are now over 8,000 U.S. patents on human genes — and over 49,000 on inventions involving genetic material.
From the simple to the super complex:
Isolation of genes led to synthetic compounds like Lipitor and Plavix… that have helped many millions of people lead productive quality Lives, avoid pain, and ultimately escape catastrophic loss of health, and death.
By the late 1990s, direct study of genetic coding isolated more complex conditions such as cancer and autoimmune disorders…
Today, a decade later, Doctors, Scientists, Career Investors and average Equities traders and owners, are starting to see how a full-blown revolution in biotech will grow from here on.
But what does the market think of all this?
I ask this because we must also see how does all of this translate in the actual validator of all that’s human economy produced. The market…
Let’s take the Broad indexes:
The iShares NASDAQ Biotechnology ETF is up about 35% for the year already – factoring in the rocky swells and tidal movement.
A few companies have benefited massively and they are the ones that are doing their best by helping people:
Biogen Idec has a treatment for spinal muscular atrophy and multiple sclerosis in early trials. Its shares are up about 45% for the year.
Indicative of quality is that shares are already trading at high values relative to current financial figures since Biogen Idec, is trading around 25x profits.
Still if you are a young investor thinking to get in Biotech, there’s a better way to get in early on this explosive biotech revolution.
Why the Future is all Biotech?
Because Biotech will surely replace old pharma:
Drug trials are extremely expensive and lengthy. The average length of time for a trial program is eight years — practically an eternity to see if a speculative investment will truly pay off. And average trial costs to get a drug from the lab and into the market have risen over 60% to nearly $500-$800 million.
Why take a position in a company that has to spend that much over nearly a decade after a patent is approved?
Why not capitalize on the biotech revolution by investing in companies that sell the specialized chemicals that are critically essential to the trial process?
All the early research and patents are in place, but to push to greater heights, the perfect ‘Alchemists’ liquid gold’ metaphor needs to be used to support continued upward growth.
Like everything else in Life — it needs a Good Story.
Such a good story is a small sea snail called the keyhole limpet. It’s a creature akin to any other sea snail that lives in the shallow waters of the Eastern Pacific Ocean.
But this sea snail has inside of it somethig nspecial called KHL.
Medical companies around the globe heavily rely on this compound known as Keyhole Limpet Hemocyanin (KLH), a substance that naturally induces an immune response to humans.
KLH is also an ideal carrier molecule for vaccine antigens (substances that promote the generation of immune responses), used against cancers and all other infectious agents. Hundreds of drugs rely on KLH in the trial process to get into the market.
But there are only 100,000 of these small sea snails left in the wild. Once the KLH has been extracted from them, they die. The scarcity and importance of KLH has driven the cost per gram to between $35,000 and $900,000 per gram, depending on the quality.
Talk about the vaunted ‘Alchemist’s liquid gold’… This KHL compound is far more than just that. Because the average drug in trial, needs 115 grams in total. The protein is absurdly massive and is impossible to synthesize, even with the most advanced technology available… Competition is fierce to find ways to make it cheaper. I myself have a StartUp working feverishly in that space…
Still all that competition leaves this one company with a distinct advantage, because it has learned how to grow the limpets on land and extract the protein without killing them… the old fashioned way. Following the pathways of life. Biomimicry. What a cool way to do science and agriculture combined. Or as in the case of the limpets, it’s sea snail culture.
And this little company has patented the process. The company just positioned itself as the keystone to the future of the useful application of biotechnology. The KLH it produces will foster a medical revolution that cures several types of cancer, autoimmune disorders, congenital defects, and more.
Still there are many hurdles in the young company’s life and trajectory to escape velocity…
We’ll share more news after the California laboratory where this company has perfected this process… gets FDA approval and other needed process orientations to the final approach to landing.
Still it’s a great Disruptor of the huge pharma industry and it will become a Biotech legend soon enough.
Because Clinical Trials Statistics tell a hard and expensive story littered with the corpses of drugs that never came to being. Money talks… And we also have millions of orphan drugs because of that and with the patent cliff now in full swing we will see more costs driving us to a Biotech choice instead of the old ways of developing our medicines.
Here is the average annual increase in clinical studies since 2000: A whooping 30% or more…
Number of clinical studies in 182 countries we have data for is a grand total of 139.372 clinical trials…
And the probabilities of getting lucky are rather low such as from .01% to .02% This is the percentage of drugs that make it to the market resulting from preclinical trials.
And to understand the upstart overhead investment needed, it’s an amazing $4 billion. This is the average cost of drug research for every drug that’s approved, factoring in previously failed drugs the company started…
And just as a comparison table this is what was spent: More than $49 billion US Dollars. This is the amount spent last year on more than 2,900 chemical compounds for medicinal reasons in the United States alone…
So the numbers don’t quite add up anymore for the old paradigm…
Let’s usher in the new and birth a new Biotech medicine revolution. Because we need some Good news right about now to overcome the evil Monsanto syndrome…
So here it goes:
Live life naturally:
In contrast to 194os Monsanto heyday with Zyclon B gassing the people, or the 1960s with Agent orange killing the people, or the 1980s Monsanto foray into genetic modifications forkilling you — today you have a choice: You have the power to stop poisoning yourself with GMO food.
It only takes a simple choice on your part…
A choice to stop participating in the “culture of death” that’s being pushed on you by your industrial farming Big Agro industry, by the giant food companies, by your cereal makers and most of your food providers and big stores, by the supermarkets, by the US-FDA, by the DoA, by the big companies, by the television news and the TV shows, and by some misguided governmental authorities — especially in the United States.
You have the CHOICE now because you can replace the culture of death that is steeped in GMOs, pesticides, herbicides, and chemical interventions and it inexorably leads to only one place: Cancers, genetic annihilation and premature death.
In contrast, the culture of LIFE celebrates the following things:
• Eating simple foods and always organics
• Growing your own food (or buying local)
• Meditation is naturally strengthening your immune system
• Using herbs and food as medicine, not pharmaceuticals
• Frequent exposure to healing sunlight
• Exercising Social Justice along with your muscle stretching and meditation
• Overcoming illness and maladies through the body’s ability to heal itself given time and help along with proper natural remedies, wholesome indicative food, healing herbs, and nutritional supplements
• Exercising in nature and in oxygen rich environments
• Raising children without toxic chemicals, without television and with ample exposure to the Great outdoors and oxygen rich environments such as forests and the sea.
• Honoring and respecting life and nature
• Living with humility and virtue
• Sharing your expertise and wisdom with others in a self fulfilling gift economy