Celgene Update

Celgene, an offshoot of chemical maker Celanese Corp., is expanding its drug portfolio. Over the next 12 months, it's expected to win approval from the FDA for two new drugs. Future sales from those drugs could quickly grow the company's revenues and reduce its dependence on Thalomid, the successor to Thalidomide.

Celgene was started in 1986 by scientists developing technology to use enzymes to "eat" pollution in water. When they found it wasn't economically feasible, they moved on to study Thalidomide, a morning-sickness drug that caused grievous birth defects before being banned in 1962. Research showed Thalidomide can stimulate or suppress the immune system, giving it potential to treat many disorders, and it can prevent growth of blood vessels that feed tumors.

Redeveloped as Thalomid, the drug's steady revenues have helped Celgene grow into one of the ten largest biotech companies in the world and bankrolled its research on treatments for cancer and other disorders. The company's stock price has climbed steadily for the past three years. Those financial results could improve if the FDA grants approval to two Celgene drugs in the pipeline.

Celgene is awaiting a decision on Focalin XR, an extended-release drug for ADHD. Another Celgene drug, Revlimid, is up for two FDA approvals, to treat the bone cancer multiple myeloma and a rare form of the bone marrow disease myelodysplastic syndrome.