Week of September 14th, 2020 | Vol. 9, Issue 37

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

Merck to pay Seattle Genetics $1.6B to ally on breast cancer ADC

Merck has struck a deal to develop Seattle Genetics’ antibody-drug conjugate (ADC) ladiratuzumab vedotin. The agreement will see Merck pay $600 million and make a $1 billion investment in Seattle Genetics in return for the chance to embark on a joint development program. Ladiratuzumab vedotin is designed to deliver a microtubule-disrupting agent to cells that express the zinc transporter LIV-1. As LIV-1 is upregulated in triple-negative breast cancer (TNBC), and its expression is maintained after hormonal therapy, Seattle Genetics identified the transporter as a way to target tumor cells. Once in a cell, the ADC releases its payload, leading to cell cycle arrest and apoptosis.  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 12 transactions totaling $1,427 million Supplies, Equipment & Services 18 transactions totaling $891 million Healthcare IT & Managed Care 3 transactions totaling $122 million Healthcare Facilities & Distributors 8 transactions totaling $207 million

PRIVATE PLACEMENTS

Pharma & Biotech 35 transactions totaling $1,451 million Supplies, Equipment & Services 21 transactions totaling $551 million Healthcare IT & Managed Care 14 transactions totaling $185 million Healthcare Facilities & Distributors 2 transactions totaling $15 million

PUBLIC OFFERINGS

Pharma & Biotech 30 transactions totaling $3,256 million Supplies, Equipment & Services 4 transactions totaling $691 million Healthcare IT & Managed Care 1 transaction totaling $5 million Healthcare Facilities & Distributors 4 transactions totaling $206 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.

Next-gen T-cell cancer player Neogene raises $110M with help from some big-name players September 14, 2020 - Fierce Biotech A new neoantigen T-cell player has launched with Neogene Therapeutics nabbing a major $110 million series A. The funding haul, a significant sum for a first round, was led by by EcoR1 Capital, Jeito Capital and Syncona with continued support from strategic seed investors Vida Ventures, TPG and Two River.  Takeda Sells Non-Core Assets in Europe for $562M September 10, 2020 - Contract Pharma Japanese pharma major Takeda has entered into an agreement to divest a portfolio of select non-core prescription pharmaceutical products sold predominantly in Europe and Canada to Cheplapharm for $562 million. Cheplapharm is a specialty pharmaceutical company headquartered in Germany with a 25-year history of acquiring, integrating and growing pharmaceutical products. Novartis, Roche fined $526M in France for alleged Lucentis marketing missteps September 9, 2020 - Fierce Pharma The Competition Authority levied a fine of €385 million ($455 million) against Novartis and €60 million ($71 million) against Roche, according to several press reports in Europe. Lucentis was developed by Roche’s Genentech division and is marketed in Europe by Novartis. Mylan boosts Euro portfolio with $756M rights deal for Aspen's injectable thrombosis meds September 8, 2020 - Fierce Pharma Mylan will shell out $756 million for European rights to a suite of Aspen Pharmacare's sterile injectable anticoagulants that raked in nearly a quarter-billion dollars in the year ending June 30, the generics giant said Tuesday.

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.