Amazon Lands Itself in the Middle East; Price of New Skin Drug Will Make Your Skin Crawl; Spoiler Alert: Uber’s Not So Diverse

Just Souq it up…

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In case you were wondering what Amazon’s been up to lately, here’s a hint: It’s got nothing to do with drones. Sort of. Instead, the online marketplace just agreed to scoop up Souq.com, the Dubai-based Amazon of the Middle East, and apparently the largest online retailer in the region. While we don’t know the exact numbers involved in the deal, we do know that 1.) There was one other bid by a billionaire from Dubai and 2.) It’s apparently the biggest tech merger & acquisition in the Arab world. Ever. At least according to somebody at Goldman Sachs. But I guess Goldman Sachs would know something like that. Rumor has it that although the Dubai billionaire, Mohamed Alabbar, counter-offered $800 million for the company, Amazon will be paying even less. What’s super-interesting about that factoid is that last year Souq.com was valued at around a billion following a funding round.

What a bargain…

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The good news is that the FDA actually approved a new treatment for severe eczema. The bad news is that it costs $37,000 a year to get it. But for some it might be worth every penny considering that one-third to two-thirds of the patients who used the drug actually regained clear or almost-clear skin.  Manufactured by Frace’s Sanofi SA and New York’s Regeneron Pharmaceuticals, the just approved drug, called Dupixent, is actually injected under the skin every two weeks, unlike previous eczema treatments, which are typically topical and often involve steroids and antihistamines. The injection apparently contains an antibody that does something to basically scare off the skin condition condition. Sort of. In any case, while $37,000 seems like a ridiculous amount of money to pay – because it is – consider that it’s still lower than Humira and Enbrel, drugs that also treat skin ailments. However, Wall Street didn’t look at it that way and instead sent shares of Regeneron down upon news of the five-figure price tag.

 

Well, what did you expect?

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Uber finally finally released its very first diversity report following a slew of issues, a ton of criticism, not to mention claims of sexual discrimination. But the only surprising thing about the report is that there weren’t any.  Surprises, that is. Sure the company employees minority groups. Unfortunately, those groups aren’t as well-represented at the top. The ride-hailing app employs about 12,000 people globally, and about 64% of them are males. Of that 12,000 figure, 36% are women and 22% of those women hold higher-level positions, while 15% of them work in the company’s tech areas. In the U.S., however, the numbers are almost embarrassing as blacks hold just 2.3% of leadership roles, while Hispanics represent .8% of those positions  – just not on the technical side.  And just to be clear, those percentages are not exclusive to Uber, but rather are fairly representative of Silicon Valley tech companies. Except now Uber pledged to throw $3 million at the problem in order to find solutions to make those numbers...better.

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Drug Company Ex-pat? Suspicious Packages and License to Bitcoin

Isn’t that a tax relief?

Image courtesy of Victor Habbick/FreeDigitalPhotos.net

Image courtesy of Victor Habbick/FreeDigitalPhotos.net

Chicago-bsed drug giant AbbVie, maker of the very popular Humira,  is buying fellow company Shire Pharmaceuticals for close to $55 billion. Wall Street seems to be happy about the strategically financial move. Too bad the Obama administration and some members of Congress don’t share the joy. And why whouldn’ they? Tax inversion my friends.  Basically, it’s shifting the tax residence of the company abroad, in this case the UK. AbbVie will now have a much more manageable tax rate of 13% instead of an onerous 22% which will free up the company to do all sorts of new and exciting things, although its headquarters will still remain in Chicago. It’s the largest inversion deal. Ever. But Treasury Secretary Jacob Lew is particularly miffed and said, “We should not be providing support for corporations that seek to shift their profits overseas to avoid paying their fair share of taxes.” However, others argue the US government ought to make the tax laws more hospitable to these big companies.

Do I need to sign for that?

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Image courtesy of posterize/FreeDigitalPhotos.net

FedEx isn’t having the best day. It probably has something to with that indictment on drug-trafficking charges. Hard to believe (or not) but the shipping company was indicted by a San Francisco grand jury for conspiracy to deliver prescription drugs for illegal internet pharamcies. Whoops. The indictment also says that FedEx knew about this for a decade and even took precautions to protect itself. To be fair, FedEx says it asked the US government on several occasions for a list of the illegal pharmacies but the government apparently never got around to it. So there. However, the DEA and FDA said FedEx was repeatedly warned. Couriers in Kentucky and Tennesee, among other places, feared for their lives as packages were delivered to empty parking lots, vacant homes and of course the occasional school. Because, after all, what alleged crime would be complete without involving the use of a school? FedEx delivers over 10 million packages a year and pulled in $44.3 billion in revenue for 2013. FedEx was charged with 15 counts of conspiracy but no officers have been charged. The company could face fines of over $800 million.

Bitcoin to go mainstream?

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Image courtesy of cuteimage/FreeDigitalPhotos.net

The New York  Department of Financial Services is showing some bitcoin love by attempting to create a license for the crypto-currency. Sounds too good to be true, huh? But really it’s an attempt to make the virtual currency more mainstream. People engaged in criminal and other questionable activities tend to like bitcoin for its anonymous aspect. Who wouldn’t. But this new system might just make those shady transactions a little bit more challenging to complete. Policies and procedures would also be established to assist with the inenvitable consumer complaint and also to outline what happens in the case of a problem ala Mt. Gox and its hacker issue that caused the bitcoin trading exchange to go bust. Ben Lawsky, Superintendant of Financial Services said, “We have sought to strike an appropriate balance that helps protect consumers and root out illegal activity – without stifling beneficial innovation.” Sounds fair.