Week of August 16th 2021 | Vol. 10, Issue 33

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 Pharma Services Sector Snapshot August 2021 

Q1 Pharma Sector Snapshot June 2021 

Q1 Consumer Health Sector Snapshot June 2021 

Q1 Pharma Services Sector Snapshot January 2021 

EOY Pharma Services Sector Snapshot January 2021

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

Project Power Play Buy-side | Specialty Pharma | In-license and acquire approved Rx products including legacy brands, generics, and niche launch-ready products Project Alamo Sell-side | CMO | Corporate Carve out - private label and OTC manufacturing business Project Focus Sell-side | CMO | Liquids and Semi-solids CMO headquartered in North America 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

Here are 3 major policy areas that health industry groups are closely watching in $3.5T infrastructure bill

The Senate is getting into the nitty-gritty of what exactly will be included in a massive $3.5 trillion infrastructure package that seeks to make major reforms to Medicare. And that means healthcare industry groups are watching very closely. Democrats have called for the $3.5 trillion package to tackle drug prices and add dental, hearing and vision benefits to Medicare, as well as efforts to expand coverage. But the actual legislation on how to do that will now be crafted by Senate committees and considered by lawmakers when they return from their August recess next month. Read more at Fierce Healthcare.

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 2 transactions totaling $52 million Supplies, Equipment & Services 4 transactions totaling $5 million Healthcare IT & Managed Care 2 transactions Healthcare Facilities & Distributors 5 transactions totaling $27 million

PRIVATE PLACEMENTS

Pharma & Biotech 6 transactions totaling $278 million Supplies, Equipment & Services 7 transactions totaling $75 million Healthcare IT & Managed Care 5 transactions totaling $5 million Healthcare Facilities & Distributors 2 transactions

PUBLIC OFFERINGS

Pharma & Biotech 14 transactions totaling $697 million Supplies, Equipment & Services 5 transactions totaling $331 million Healthcare IT & Managed Care 0 transactions Healthcare Facilities & Distributors 0 transactions

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.

Cigna, Blue Shield of California back Cricket Health's $83.5M funding round August 9, 2021 - Fierce Healthcare Startup Cricket Health scored $83.5 million in fresh capital to fuel its growth as it sees growing demand for its personalized approach to kidney care. The series B funding round was led by Valtruis, which is focused on investing in companies with value-based and health-at-home models. Existing investors Oak HC/FT and Cigna Ventures as well as K2 HealthVentures also participated, and the round included a strategic investment from Blue Shield of California. Reify Health scores $220M series C to speed up trial recruitment, enrollment August 10, 2021 - Fierce Biotech The COVID-19 pandemic emphasized the need for quicker clinical trial enrollment and more decentralized studies to assuage safety concerns. Those long-lasting impacts have given investors the confidence to funnel $220 million into Reify Health. The series C is more than seven times the size of Reify's $30 million series B, raised almost exactly one year ago. The massive investment gives Boston-based Reify a $2.2 billion valuation, which is more than double the valuation of hybrid trial company Science 37 through its planned special purpose acquisition merger. Big Pharma’s Q2 growth, ranked: Regeneron, Pfizer lead the way as sales rebound from pandemic depths August 11, 2021 - Fierce Pharma We’re not yet done with the coronavirus pandemic, but you wouldn’t know it from the second-quarter results in the pharma industry. After a tentative first quarter of 2021—attributed to the pandemic and a change of the guard in Washington, D.C.—signs of recovery abound. Over the last few weeks as companies have presented their quarterly numbers, most are telling a different version of the same story. Drug sales are up, with some therapeutic areas rebounding faster than others. Recro Acquires IRISYS to Expand CDMO Capabilities August 13, 2021 - Contact Pharma Recro Pharma, a contract development and manufacturing organization (CDMO) dedicated to solving complex formulation and manufacturing challenges for companies developing oral solid dose drug products, has acquired the San Diego-CA-based CDMO IRISYS for approximately $50 million. With its acquisition of IRISYS, Recro has transformed itself into a full service CDMO with operations on both the East and West Coast of the U.S.

UPCOMING INDUSTRY EVENTS Events Hosted or Attended by Bourne Partners CPhI North America August 10-12, 2021 - Philadelphia, PA Bourne Partners Global Healthcare Executive Summit October 20, 2021 - Charlotte, NC CPhI worldwide November 9-11, 2021 - Milan, Italy JP Morgan Healthcare Conference January 10-14, 2022 - San Francisco, CA

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.