Week of July 13th, 2020 | Vol. 9, Issue 28
In This Issue
Featured Headlines
Recent Industry Transactions
Industry Trading Comps
Recent Industry Headlines
Market Reports (See below)
Upcoming Events

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Managing Director
Business Development

Managing Director
Head of M&A and Capital Advisory

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 .
While Sanofi is looking to move more of its R&D in-house, there is still room for deals, and today it’s  penned  a big one with Fierce 15 winner Kymera Therapeutics.

This is a pivotal year for Kymera: After spending four years building the company around its protein degradation technology, it’s now setting its sights on the clinic—bagging $102 million in a series C to help back in March.

The Cambridge, Massachusetts-based biotech’s approach makes use of the body’s protein degradation machinery to get rid of disease-causing proteins. Sanofi is now buying into its platform, laying a sizable $150 million as an upfront with more than $2 billion in potential milestones plus royalty payments, should all go to plan. This is a multi-program collab that sees the French Big Pharma tap Kymera to develop and sell first-in-class protein degrader therapies targeting IRAK4 in patients with immune-inflammatory diseases.

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
13 transactions totaling $467 million
Supplies, Equipment & Services
12 transactions totaling $4 million
Healthcare IT & Managed Care
5 transactions totaling $40 million
Healthcare Facilities & Distributors
9 transactions
Pharma & Biotech
32 transactions totaling $649 million
Supplies, Equipment & Services
11 transactions totaling $156 million
Healthcare IT & Managed Care
12 transactions totaling $1,211 million
Healthcare Facilities & Distributors
2 transactions totaling $5 million
Pharma & Biotech
24 transactions totaling $2,759 million
Supplies, Equipment & Services
2 transactions totaling $22 million
Healthcare IT & Managed Care
2 transactions totaling $833 million
Healthcare Facilities & Distributors
1 transaction totaling $3 million
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.
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.
July 9, 2020 - Fierce Biotech
A who’s who of Big Pharma companies, including  Pfizer , Johnson & Johnson and Merck, has banded together to bolster the development of new antibiotics. The companies announced Thursday the $1 billion AMR Action Fund, which aims to see two to four new antibiotics through approval by 2030.
Through the fund, named for antimicrobial resistance, the pharma companies will work with charities, development banks and other organizations to ramp up antibiotics development. And they won’t just contribute cash—they’ll also offer their technical know-how to help young biotechs advance new antibiotics.
“With the AMR Action Fund, the pharmaceutical industry is investing nearly $1 billion to sustain an antibiotic pipeline that is on the verge of collapse, a potentially devastating situation that could affect millions of people around the world,” said David Ricks, CEO of Eli Lilly and president of the International Federation of Pharmaceutical Manufacturers & Associations, which helped organize the fund.

July 8, 2020 - Fierce Pharma
As COVID-19 vaccines move into late-stage testing, governments and drugmakers are scrambling to secure packaging to store those shots. One Alabama-based materials manufacturer hopes to ease that strain with the help of some Biomedical Advanced Research and Development Authority (BARDA) and U.S. Department of Defense (DOD) funding.
Drug packaging specialist SiO2 Materials Science plans to shell out $ 163 million  to expand and upgrade its packaging plant in Auburn, Alabama. The scale-up will boost production capacity for vials and syringes to house COVID-19 vaccines and treatments while allowing the company to continue supplying its current pharma customers. 
The expansion plans follow SiO2's $143 million  contract  with BARDA and the DOD's Joint Program Executive Office for Chemical, Biological, Radiological, and Nuclear Defense to scale up production. 

July 7, 2020 - Fierce Pharma
When Novartis shelled out $3.9 billion for France-based Advanced Accelerator Applications in 2017, it had blockbuster hopes for AAA’s Lutathera, a radiotherapy to treat neuroendocrine tumors (NETs).
Those expectations were not misplaced. In fact, demand for Lutathera is so high that AAA is planning to build a new 50,000-square-foot manufacturing plant in Indianapolis’ Purdue Research Park to make the drug and other radiotherapies, the Novartis unit said Tuesday.
The Indianapolis factory will open in 2023, said AAA, which did not release financial terms or hiring plans. It’s the subsidiary’s second U.S. manufacturing plant.

July 7, 2020 - Fierce Pharma
Among the drugmakers seeking an answer for COVID-19, Regeneron once showed promise in its quest to repurpose an older therapy as a treatment and develop a novel antibody cocktail, too. Now, thanks to disappointing data, that first path appears blocked. But the second is looking up, to the tune of $450 million.
Regeneron and the Trump administration  signed  a $450 million pact for U.S. supply of the drugmaker's investigational antibody cocktail for COVID-19, which entered a late-stage human trial as a preventive earlier this week and is rolling ahead in two phase 2 treatment trials.
As part of the agreement, Regeneron will amp up manufacturing to produce up to 1.6 million doses of the cocktail, dubbed REGN-COV2, as early as the end of summer, the company said.

July 7, 2020 - Fierce Pharma
Johnson & Johnson, like all drugmakers in the COVID-19 vaccine race, is hoping to cobble together enough manufacturing capacity to rapidly scale production of its shot hopeful. Now, to the tune of nearly half a billion dollars, J&J is ready to put its money where its mouth is.
J&J and Maryland-based CDMO Emergent BioSolutions  inked  a five-year work order worth at least $480 million to help produce the New Jersey-based drugmaker's COVID-19 vaccine candidate, Emergent said in a release.
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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.
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
Recent Materials Providing Insight Into Healthcare Related Industries