Generic Drug Deals Are Getting Rarer

The patent cliff is boosting the volume and market share of generic pharmaceutical products. Generics account for 88% of all prescriptions filled annually in the United States, according to the latest IMS Report. For good reason, since generic drugs typically cost between 50% to 70% less than their branded equivalents. Governments and managed care companies have historically been proponents of generic drugs, which can lower the cost of healthcare across the entire continuum. 2015 was the year of the M&A boom in the generic drug segment, with 25 deals totaling $64.8 billion. The targets include the companies focused on generic pharmaceuticals as well as the rights to generic... 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, and some of the... Read More »