The patent securitization in the pharmaceutical sector: a fuzzy-based analysis

Patent backed securitizations are customized financial solutions characterized by a high level of complexity. Their evaluation involves the analysis of a variety of factors concerning the characteristics of the asset, the architecture and economics of the transaction, the stakeholders involved. In this paper we study the potential determinants leading to the success or failure of securitization deals having patents as underlying assets, developing a conceptual framework that we test on two well-known deals in the pharmaceutical industry, by using a fuzzy set approach. Results highlight that factors related to the market size, the kind of drugs, the legal and financial architecture of the transaction are key factors determining the success of the securitization.