Takeda Exits LatAm Portfolio
The Pharmaceutical sector, once a powerhouse of billion-dollar M&A activity, has been relatively quiet in recent years. One exception was Takeda Pharmaceutical’s (NYSE: TAK) takeover of Shire plc in 2018 for $81.5 billion. In March, the Japanese drug maker was back again, although on the sell-side. Takeda announced the sale of a portfolio of select non-core products exclusively in Latin America, including over-the-counter and prescription pharmaceutical products sold in Brazil, Mexico, Argentina, Colombia, Ecuador, Panama and Peru. The buyer was Brazil’s largest pharmaceutical company, Hypera S.A., with a leading position in branded prescriptions, consumer health and... Read More »
Pharmaceutical Firms Are Cleaning House to Profit
There’s no doubt it was an unusually slow February in the healthcare M&A market. Historically, the middle of Q1 tends to dip and then rebound by March, but with less than 100 deals on the books, the rapid spread of the coronavirus, Covid-19, seems to have undercut investor confidence, both big and small. And although some biotech stocks have soared following announcements of their coronavirus treatment efforts, pharmaceutical firms have been relatively quiet. Aside from some players like Gilead (NASDAQ:GILD), which just announced a $4.9 billion acquisition of Forty Seven, Inc. (NASDAQ: FTSV) and whose product remdesivir is seen a hope as a potential treatment for Covid-19, no... Read More »
Eli Lilly Comes Out Swinging
The annual J.P. Morgan Healthcare conference in San Francisco concluded last week with very few big deal announcements. In January 2019, Bristol-Myers Squibb (NYSE: BMY) made its $74 billion takeover of Celgene Corporation (NASDAQ: CELG) public just before the conference started. That was quickly followed by Eli Lilly and Company’s (NYSE: LLY) $8 billion deal for Loxo Oncology. This year, Eli Lilly was back in the spotlight with an agreement to acquire Demira, Inc. (NASDAQ: DERM), the largest deal announced in January. The $1.1 billion cash price (13.3x revenue), or $18.75 a share, represents an 86% premium to the 60-day volume-weighted average trading price of Dermira’s stock... Read More »
2019’s Biggest Healthcare Deals, by Sector
2020 has just begun, which means it’s time to look back at the healthcare M&A landscape of 2019. Just three days into the new year, nearly 1,780 deals are already on the books for 2019. More deals will turn up as we search our many sources, but the number likely won’t top the record of 1,900-plus set in 2018. Thanks to the multi-billion-dollar deals announced in the Biotech and Pharmaceutical sectors, 2019 will set a new spending record. Preliminary data show $399.1 billion was spent on healthcare acquisitions last year, about 20% higher than in 2018. We expect that number to rise as we go through the year and the 10Ks and quarterly reports come out. It’s possible the... Read More »
Cancer Treatments Are Driving Biopharmaceutical M&A
It’s been a busy year for mergers and acquisitions in the Biotechnology and Pharmaceutical industries. Combined spending on M&A is close to $268 billion mid-way through December, with 229 transactions reported. Although the number of deals is 34% lower than 2018’s combined total of 345, spending skyrocketed 62%, from just $165 billion in all of 2018. Two recent deals from major drug manufacturers highlight what’s behind the trend. On December 9, Sanofi announced its $2.5 billion acquisition of Synthorx, Inc. (NASDAQ: THOR), a clinical-stage biotechnology company focused on treating cancer and autoimmune disorders. The price consists of $68 per share, a 172% premium to... Read More »Schedule a demo
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