Week of October 28, 2019 | Vol. 8, Issue 43
In This Issue
Featured Headlines
Recent Industry Transactions
Industry Trading Comps
Recent Industry Headlines
Market Reports
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.
Under its former CEO Andrew Witty, GlaxoSmithKline made a huge play in vaccines by picking up most of Novartis’ offerings in a multibillion-dollar asset swap. Now, it's slimming down a bit by offloading two of those shots to Bavarian Nordic for up to €955 million ($1.06 billion).

GSK  agreed  to sell its rabies and tick-borne encephalitis vaccines, both picked up in that Novartis asset swap. The deal includes a €301 million up-front payment, inventory of €159 million and up to €495 million in potential milestones, which cover successful technology transfers, transfer of approvals and more.

The drugmaker’s global vaccines president Roger Conner said in a statement the deal “will enable us to commit greater resources to our key growth assets and to our R&D pipeline, while also ensuring the continued supply of these important and successful vaccines.” 

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
9 transactions totaling $1,394 million
Supplies, Equipment & Services
17 transactions totaling $35 million
Healthcare IT & Managed Care
4 transactions totaling $3 million
Healthcare Facilities & Distributors
9 transactions totaling $1 million
Pharma & Biotech
22 transactions totaling $538 million
Supplies, Equipment & Services
22 transactions totaling $211 million
Healthcare IT & Managed Care
13 transactions totaling $218 million
Healthcare Facilities & Distributors
2 transactions totaling $4 million
Pharma & Biotech
20 transactions totaling $219 million
Supplies, Equipment & Services
5 transactions totaling $20 million
Healthcare IT & Managed Care
1 transaction totaling $3 million
Healthcare Facilities & Distributors
0 transactions
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.
October 25, 2019 - Fierce Pharma
After an agonizing wait, Roche might finally be looking at an antitrust clearance from U.S. authorities for its proposed $4.3 billion takeover of Spark Therapeutics.
The Federal Trade Commission staff on the Roche-Spark case has  recommended  approval of the deal without any product divestiture requests, according to a report by the Capitol Forum cited by Reuters.
Roche had its eye on Spark’s gene therapy platform, especially its hemophilia franchise, when making the acquisition offer, officially  unveiled  in late February—and that’s exactly what the FTC staff had been focused on, the report said.

October 23, 2019 - Fierce Biotech
Novartis has put up an initial  $80 million  to land the global license to Pliant Therapeutics’ preclinical nonalcoholic steatohepatitis (NASH) asset and three additional candidates. The NASH drug, PLN-1474, is a small molecule inhibitor of integrin α V β 1  Pliant thinks can reduce the growth of fibrotic tissue in the liver.
“NASH is a difficult disease to tackle, and most compounds currently in development are targeting metabolic targets that address earlier stages of disease. PLN-1474 utilizes a fundamentally different mechanism from liver metabolism targeting drugs,” Pliant CEO Bernard Coulie said. 

October 22, 2019 - BioPharma Dive
Biogen is filing its closely watched Alzheimer's disease drug aducanumab for approval in a major pivot from earlier this year, when the biotech halted two large studies of the drug because interim analyses signaled they were unlikely to succeed.
Biogen said it has consulted with the Food and Drug Administration about the new analysis and intends to submit a Biologics License Application for aducanumab in early 2020. If approved, it would be the first ever disease-modifying Alzheimer's drug to come to market, although it's not at all certain the FDA will agree with Biogen's new analysis.

October 22, 2019 - Fierce Biotech
As John Puisis was building a biotech company based on immune tolerance research from Northwestern University, venture capitalists asked him, “Why not just be a celiac disease company, a Type 1 diabetes company or a multiple sclerosis company?” 
Now, with positive phase 2 data and a licensing deal with Takeda worth up to  $420 million , Chicago-based Cour has a partner to help get its celiac disease treatment to patients. Celiac is a genetically linked disease in which eating gluten, the protein found in certain grains, leads the immune system to damage the gut. Symptoms may vary, and there there is only one treatment: a gluten-free diet. Problem is, these diets can be hard to stick to, and, for some people, they don’t work. 

October 22, 2019 - Outsourcing Pharma
Sartorius is set to acquire three biopharma businesses from Danaher, once the latter company concludes its deal for GE Biopharma.

Recent Materials Providing Insight Into Healthcare Related Industries