Week of January 11th, 2020 | Vol. 10, Issue 2

In This Issue Featured Headlines Recent Industry Transactions Industry Trading Comps Recent Industry Headlines Market Reports Upcoming Events Quick Links Who We Are LinkedIn Corporate Site LinkedIn M&A Discussion Group Daybreak Consumer Care Contact Information Xan Smith Managing Director Business Development xsmith@bourne-partners.com Jeremy C. Johnson Managing Director Head of M&A and Capital Advisory jjohnson@bourne-partners.com

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.

For more information about our consumer healthcare JV with The Emerson Group, Daybreak Consumer Care, click here.

MARKET REPORTS Recent Materials Providing Insight Into Healthcare Related Industries

Q3 2020 Pharma Services Sector Snapshot October 2020

Q2 2020 Consumer Health Sector Snapshot August 2020

1H 2020 Pharmacy Services Sector Snapshot July 2020

1H 2020 Pharma Services Sector Snapshot July 2020

Current M&A Pipeline Representative Current Retained Sell-Side And Partnering Opportunities

Project Trident Buy-side | Generic Pharma | Manufacturing liquid generics Project Aspen Sell-side | CDMO | Multinational CDMO headquartered in US Project Athena Sell-side / Licensing | Medical Device | Novel device for pelvic organ prolapse Project Bulldog Sell-side | Pharma Services| Life sciences consulting firm

Sanofi inks $1.1B Kymab buyout to bag midphase eczema drug

Sanofi has struck a deal to buy Kymab for $1.1 billion upfront. The takeover will give Sanofi full global rights to an anti-OX40L monoclonal antibody that improved outcomes in atopic dermatitis patients in a midphase clinical trial last year.  Over the past decade, Kymab has raised $220 million to build out antibody platforms and advance a pipeline of assets derived from them. The work culminated last year in the completion of a phase 2a clinical trial that found anti-OX40L antibody KY1005 reduced disease activity in adults with moderate to severe atopic dermatitis who were failed by topical corticosteroids. Sanofi, which knows the indication well from its work on Dupixent, saw enough promise in the data to agree to pay $1.1 billion upfront to acquire Kymab. The agreement features up to $350 million in milestones. Read more at Fierce Biotech.

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.

M&A TRANSACTIONS

Pharma & Biotech 9 transactions totaling $1,412 million Supplies, Equipment & Services 32 transactions totaling $874 million Healthcare IT & Managed Care 7 transactions totaling $17,008 Healthcare Facilities & Distributors 13 transactions totaling $7,947

PRIVATE PLACEMENTS

Pharma & Biotech 38 transactions totaling $1,201 million Supplies, Equipment & Services 19 transactions totaling $167 million Healthcare IT & Managed Care 13 transactions totaling $153 million Healthcare Facilities & Distributors 5 transactions totaling $109 million

PUBLIC OFFERINGS

Pharma & Biotech 21 transactions totaling $2,112 million Supplies, Equipment & Services 11 transactions totaling $865 million Healthcare IT & Managed Care 0 transactions Healthcare Facilities & Distributors 1 transaction totaling $264

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.

Buoyed by renewed clamor for infectious disease R&D, Affinivax nabs huge $226M funding round January 8, 2021 - Fierce Biotech After getting off a meaty $120 million round in April, the height of the first wave of COVID-19 infections in the West, Affinivax is a clear indicator that infectious disease and vaccine work is here to stay. Nearly doubling that already impressive B round, the Cambridge, Massachusetts-based biotech has nabbed $226 million, with goals of unseating Pfizer’s Prevnar franchise as well as pushing a set of vaccines for hospital-associated infections into the clinic. COVID-19 tracker: Biden aims to release majority of pandemic doses on tap; Labcorp, CDC team up to track virus mutations January 8, 2021 - Fierce Pharma President-elect Joe Biden wants to release nearly all available vaccine doses, his transition team said Friday. The CDC is teaming up with Labcorp to track viral mutations as a new coronavirus variant spreads across the U.S. Moderna named a new chief commercial officer as it plows ahead with its pandemic vaccine launch. Plus, Pfizer has agreed to boost shot deliveries to Israel in return for data on the country's immunization program, Prime Minister Benjamin Netanyahu said.  Fujifilm socks $2B into new U.S. site as its global CDMO ambitions take shape January 7, 2021 - Fierce Pharma Seeking to dramatically bolster its position in the contract development and manufacturing business, Fujifilm is investing $2 billion on a large cell culture production site in the U.S. The site will feature eight 20,000 liter bioreactors and have the potential for another 24 bioreactors depending on future market demand. Fujifilm plans to offer drug substance manufacturing and fill and finish services, plus packaging and labeling at the site.  CHI Franciscan, Virginia Mason finalize acquisition deal and roll out new name January 6, 2021 - Fierce Healthcare Virginia Mason will combine with Tacoma, Washington-based CHI Franciscan to form an integrated health system to be known as Virginia Mason Franciscan Health. Officials said the combined health system will serve as a prototype of care innovation nationally as part of Chicago-based CommonSpirit Health. In July, the health systems first revealed the acquisition talks.

Welcome to Bourne, let's talk. Since our founding in 2001, Bourne Partners has remained focused on fulfilling the unique needs of established, middle-market healthcare and pharmaceutical companies across the globe. Our track record includes advising middle market companies in healthcare M&A assignments totaling more than $7 billion, and growing companies into successful and well-positioned pharmaceutical enterprises.