Week of August 24th, 2020 | Vol. 9, Issue 34

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

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 Aspen Sell-side | Pharma Services | Multi-national contract manufacturing and packaging organization Project Athena Sell-side | Medical Device | Novel medical device for the treatment of pelvic organ prolapse Project Vista Out-partnering | Pharma | Seeking commercial partner for novel, liquid-format riluzole treatment of ALS Project Seal Buy-side | Pharma | Seeking Pain and CNS products as well as legacy/tail commercial pharma assets Project Olympus Sell-side | Pharma | Portfolio of generic injectable products

J&J inks $6.5B Momenta buyout to bag autoimmune drug

Johnson & Johnson has struck a deal to buy Momenta Pharmaceuticals for $6.5 billion. The takeover will give J&J control of an anti-FcRn antibody that completed a phase 2 trial in myasthenia gravis earlier this year. To get its hands on the anti-FcRn antibody, nipocalimab, J&J has agreed to pay $52.50 a share in cash. Momenta’s stock closed just above $30 yesterday, leading investors to drive its share price up around 70% to just shy of J&J’s offer when news of the takeover agreement broke. Once Momenta’s cash is factored in, the deal values the business at around $6.1 billion. 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 6 transactions totaling $10,102 million Supplies, Equipment & Services 11 transactions totaling $2,077 million Healthcare IT & Managed Care 12 transactions totaling $21 million Healthcare Facilities & Distributors 15 transactions totaling $105 million

PRIVATE PLACEMENTS

Pharma & Biotech 25 transactions totaling $444 million Supplies, Equipment & Services 23 transactions totaling $150 million Healthcare IT & Managed Care 9 transactions totaling $285 million Healthcare Facilities & Distributors 2 transactions totaling $841 million

PUBLIC OFFERINGS

Pharma & Biotech 25 transactions totaling $9,249 million Supplies, Equipment & Services 10 transactions totaling $1,280 million Healthcare IT & Managed Care 0 transactions Healthcare Facilities & Distributors 1 transaction totaling $5 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.

Eli Lilly, Pfizer, Merck among Big Pharma losers in China's latest round of procurement bidding August 20, 2020 - Fierce Pharma The drugmakers lost out to domestic producers, which in some cases undercut prices for established medicines by more than 90%, according to Jiemian. Among the drugs to lose contracts were Eli Lilly schizophrenia medicine Zyprexa and Pfizer’s Viagra, the publication said.  It still takes 2 to Tango as Gilead triples targets in I-O deal now worth up to $6.2B August 17, 2020 - Fierce Biotech Gilead Sciences and Tango Therapeutics hit the dance floor two years ago, with $50 million changing hands in a deal covering up to five immuno-oncology targets. Now, Gilead is ponying up another $125 million upfront, as well making a $20 million equity investment, to expand that deal to include up to 15 targets. Sanofi goes all in on Principia, paying $3.7B to take full control of late-phase MS asset August 17, 2020 - Fierce Biotech Sanofi has struck a deal to buy its partner Principia Biopharma for $3.7 billion in cash. The takeover will give Sanofi full ownership of a BTK inhibitor it moved into a raft of phase 3 multiple sclerosis trials earlier this year. Evotec and Novo Nordisk Form Strategic Alliance August 18, 2020 - Contract Pharma The two companies will jointly identify and develop novel targets based on comprehensive medical and molecular data sets of thousands of chronic kidney disease patients. The collaboration intends to pursue the most relevant human disease biology in a therapeutic modality-agnostic approach to develop first-in-class therapeutics for patients suffering from CKD.

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.