Week of Sept. 3, 2019 | Vol. 8, Issue 35
In This Issue
Featured Headlines
Recent Industry Transactions
Industry Trading Comps
Recent Industry Headlines
Market Reports
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Managing Director
Business Development

Managing Director
Head of M&A and Capital Advisory
INDUSTRY M&A SNAPSHOT

Above is an overview of recent industry M&A activity. For additional information, see the charts below or click on the chart above to download complete transaction tables broken out by industry sub sectors.
Amgen on Monday said it will buy the psoriasis and arthritis drug Otezla for $13.4 billion, acquiring from Celgene an on-market complement to its aging top-seller Enbrel.

Federal regulators required Otezla's sale — a rare instance of an approved blockbuster drug changing hands — as a condition for allowing Celgene's acquisition by Bristol-Myers Squibb to proceed. That box checked, Bristol-Myers now expects its deal to close by the end of the year.

Wall Street analysts considered Amgen, along with Gilead and Johnson & Johnson, as likely bidders for Otezla, but had predicted the drug would fetch a lower price in the range between $5 billion and $10 billion. Last year, Celgene earned $1.6 billion in global sales of Otezla. 

Read more at BioPharma Dive
RECENT INDUSTRY TRANSACTIONS
An Overview of Transactions Within Market Sub-segments
Below are summaries and charts with the past week's transactions from the different healthcare sectors. For a detailed table showing data for each industry transaction click on any of the charts. Total transaction values are provided in USD millions.
Pharma & Biotech
20 transactions totaling $14,765 million
Supplies, Equipment & Services
14 transactions totaling $17 million
Healthcare IT & Managed Care
8 transactions totaling $5 million
Healthcare Facilities & Distributors
8 transactions totaling $202 million
Pharma & Biotech
19 transactions totaling $291 million
Supplies, Equipment & Services
10 transactions totaling $68 million
Healthcare IT & Managed Care
8 transactions totaling $50 million
Healthcare Facilities & Distributors
1 transaction
Pharma & Biotech
13 transactions totaling $500 million
Supplies, Equipment & Services
6 transactions totaling $157 million
Healthcare IT & Managed Care
1 transaction
Healthcare Facilities & Distributors
1 transaction totaling $1 million
INDUSTRY TRADING COMPS
A Breakdown of Relevant Trading Multiples
Each week, we provide updated trading comps for leading companies from numerous healthcare sub-sectors.
To the right you will see a high-level breakdown of median revenue and EBITDA multiples for each of the specific sub sectors.

For a complete trading comp analysis (including the individual equities that comprise the sub sectors), click on the table. 

Note: data reflects prior week close.
RECENT INDUSTRY TRANSACTIONS
A Sampling of Relevant Industry Headlines from Last Week
Below are snippets from relevant industry news articles from the past week. For additional information or the article's complete text, click the headline link to view the original publication.
August 26, 2019 - BioPharma Dive
An Oklahoma judge on Monday ordered Johnson & Johnson to pay $572 million after finding the pharmaceutical giant's marketing of prescription opioid painkillers in the state helped contribute to an ongoing crisis of addiction and overdoses. "The opioid crisis has ravaged the state of Oklahoma. It must be abated immediately," said state court judge Thad Balkman in announcing his verdict, according to video posted by CNBC. J&J said it will appeal the ruling and denied that it caused the opioid crisis in Oklahoma. The $572 million in damages ordered by Balkman were substantially less than the $17 billion sought by the state and the several billions of dollars expected by investors on Wall Street. Shares in J&J, as well as several other opioid drugmakers, rose in post-market trading Monday.

August 27, 2019 - Outsourcing Pharma
Cognate BioServices closes a round of growth capital from EW Healthcare Partners to secure its capabilities for the commercialization of advanced cellular therapies.

August 27, 2019 - Fierce Biotech
GlaxoSmithKline has  licensed  Ionis Pharmaceuticals’ antisense hepatitis B medicines for $25 million. The deal, which is part of the long-running relationship between the companies, comes shortly after GSK achieved clinical proof of concept for the Ionis-partnered hepatitis B program. GSK began working with Ionis in 2010 and, while it gave away Tegsedi and another asset in 2017, has retained ties to the antisense specialist over that period. The 2010 deal gave GSK a chance to license assets covered by the six-program agreement once they reached phase 2 proof of concept.

August 27, 2019 - Outsourcing Pharma
As the industry focuses on modernizing clinical research, Thread is set to continue expanding its virtual research platform after today announcing its acquisition by strategic investors, says company executive.

August 28, 2019 - BioPharma Dive
Purdue Pharma and its owners the Sackler family are in discussions to settle thousands of lawsuits claiming the company's prescription painkillers fueled an opioid crisis in the U.S., and have reportedly offered to pay between $10 and $12 billion under a potential deal first reported by NBC News. "Purdue believes a constructive global resolution is the best path forward, and the company is actively working with the state attorneys general and other plaintiffs to achieve this outcome," a company spokesperson said Wednesday in a statement to BioPharma Dive. Opioid manufacturers have reached deals with state and county governments before, but none have yet resolved all claims through a global settlement as Purdue is now discussing. In March, Purdue agreed to pay $270 million in a deal with the state of Oklahoma, resolving claims made against it in a case that had also named Teva and Johnson & Johnson.
MARKET REPORTS
Recent Materials Providing Insight Into Healthcare Related Industries
August 2019
August 2019