Health Care Deals Slide in April 2017
April usually doesn’t feel like February, at least, weather-wise. As far as healthcare mergers and acquisitions go, however, deal volume in April 2017 (103 deals) feels a lot like February’s deal volume (102). The chart below shows the clear winners and losers in April 2017. Deal volume was down 29% compared with the previous month (March, 145 deals), and slid 12% compared with the year before (April 2016, 141 deals). Healthcare services deal volume accounted for just 50% of April’s preliminary total. The services sectors typically account for higher percentages than the technology sectors (although that trend is reversed when it comes to dollar volume). The services side... Read More »Fresenius Injects $5.1 Billion into its U.S. Pharma Unit
Fresenius Medical Care AG & Co. KGaA (NYSE: FMS) has been a busy deal maker. In 2016, its subsidiary Fresenius Helios bought the Spanish hospital chain Quironsalud for $6.5 billion, its Renal Care division acquired the rights to a chronic kidney disease drug for up to $282 million, and then a German-based cardiovascular medical device company for an undisclosed price. The company also picked up dialysis clinics throughout India and New York State, and other drug licenses in the meantime. Now, it has turned its attention to strengthening Fresenius Kabi, its sterile injectable medicines subsidiary. Biosimilars are a fast-growing segment within the pharmaceutical market,... Read More »Abbott and Alere: The Wedding Is Back On!
It seems so long ago. Back in February 2016, Abbott (NYSE: ABT) and Alere Inc. (NYSE: ALR) announced their $5.8 billion deal. Abbott’s board okay’ed paying $56 per common share of Alere, representing a 51% premium to the company’s close on January 28, 2016. Abbott also assumed $2.6 billion of debt. The combination was expected to create a premier point-of-care testing business and to strengthen Abbott’s diagnostics presence. Alere’s main business is its point-of-care diagnostics and services, which are focused on the areas of infectious disease, cardio-metabolic disease, and toxicology. Point of care testing is a $5.5 billion segment, and one... Read More »Sartorius AG Scores Two More Deals
Sartorius AG (FWB: SRT), a German pharmaceutical and laboratory equipment provider, has expanded with the acquisition of a medical device company and a digital health company for a combined total of $392.5 million. Sartorius operates through two divisions: bioprocess solutions and lab products & services. On March 3, 2017, Sartorius acquired privately-held Essen BioScience Inc. from SFW Capital Partners for $320 million. Essen develops and manufactures instruments, software, reagents and consumables which enable researchers to remotely image and quantify a wide variety of cellular processes over time. Through this acquisition, Sartorius significantly expands its portfolio for... Read More »Where Have All the Big Pharma Deals Gone?
The Pharmaceutical sector has experienced a dearth of big deals so far this year. In Q1:16, 40 transactions with pharmaceutical targets were announced, for a total of $46.2 billion. In the first quarter of 2017 (through March 28), only 24 deals (-40%) for pharmaceutical targets have been announced, with a combined total of $10.1 billion (-78%). One factor behind the drop in deals is obvious. The sector came under legislative and consumer scrutiny during the presidential election in 2016, as candidates Hillary Clinton and Donald Trump each decried high prices charged by drug manufacturers, and each vowed to do something about it once elected. President Trump repeated his campaign promise to... Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
