Week of February 17, 2020 | Vol. 9, Issue 7
In This Issue
Featured Headlines
Recent Industry Transactions
Industry Trading Comps
Recent Industry Headlines
Market Reports
Upcoming Events

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Contact Information
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.
PORTFOLIO NEWS: Funds Managed by Affiliates of Apollo Global Management to Acquire Covis Pharma From Cerberus
Bourne Partners CEO, Banks Bourne, responded to the news of the transaction: “Covis Pharma has been an incredible growth story. The journey began in 2009 when two former GSK executives came to see our team about a plan to build a specialty pharma business. For over 18 months we worked with the team to establish the final business plan, select assets to acquire, and arrange all committed capital for the transaction. In 2011, we were thrilled to partner with Brett Ingersoll, Jim Lenehan, and the team at Cerberus, along with Mike Wells and his talented colleagues at Princeton Biopharma to co-found the go-forward platform. The management team, led by Michael Porter, has done a phenomenal job of rebuilding the business following the successful sale of 12 products in 2015 to Concordia Healthcare Group (now Advanz Pharma) for $1.2 billion. Since its inception, Covis acquired 23 products in 11 separate transactions (5 transactions originated by Bourne Partners). We wish the team and Apollo all the best in the next phase of Covis’ growth and would like to thank all the dedicated Covis employees and partners who contributed to this collaboration since 2009.”

Read more about the transaction here .  

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 $267 million
Supplies, Equipment & Services
10 transactions totaling $50 million
Healthcare IT & Managed Care
8 transactions totaling $180 million
Healthcare Facilities & Distributors
7 transactions totaling $67 million
Pharma & Biotech
30 transactions totaling $616 million
Supplies, Equipment & Services
10 transactions totaling $122 million
Healthcare IT & Managed Care
7 transactions totaling $48 million
Healthcare Facilities & Distributors
1 transaction
Pharma & Biotech
27 transactions totaling $2,054 million
Supplies, Equipment & Services
9 transactions totaling $179 million
Healthcare IT & Managed Care
0 transactions
Healthcare Facilities & Distributors
3 transaction totaling $2,700 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.
February 14, 2020 - Fierce Biotech
A U.S. bankruptcy court has  given  groups interested in buying antibiotic biotech Melinta Therapeutics until March 2 to make an offer. The bidding process creates an opportunity for Melinta’s business to continue as a going concern despite its financial difficulties.
Melinta filed for bankruptcy late last year after months of escalating financial tensions. The New Jersey-based biotech has a small portfolio of approved products but, like its peers in the antibiotic space, has struggled to turn them into commercial successes. Sales over the first nine months of 2019 totalled $45.9 million, down 25% compared to the same period of 2018.
February 12, 2020 - Fierce Pharma
Teva's multibillion-dollar restructuring plan is finally coming to an end with the drugmaker running lighter to the tune of around 13,000 employees and 23 manufacturing sites. Now, Teva is charting a new path to growth––and hoping to ride migraine med Ajovy and Huntington's therapy Austedo to get there. 
They're high hopes, too—and high stakes. Teva is  forecasting  2020 sales of Austedo and Ajovy at $650 million and $250 million, respectively, far outpacing Street consensus for both drugs. With revenue down 8% in 2019, that kind of outperformance will be crucial to a turnabout.
February 12, 2020 - Fierce Biotech
Ligand Pharmaceuticals has  acquired  a Roche-partnered program from Icagen. The deal comes a little more than one year after Roche and Icagen entered into a drug discovery pact aimed at neurological disorders.
Roche committed to up to $274 million in development and commercial milestones at the time of the December 2018 deal. In return, Icagen agreed to apply its platform to the discovery and early stage preclinical development of ion channel modulators. The alliance tasks Icagen with taking a drug up to lead optimization, at which point Roche will take over development. 
February 11, 2020 - BioPharma Dive
Bayer is transferring a "large part" of its small molecule research unit in Berlin to Nuvisan, a Germany-based contract research and manufacturing organization, through a partnership announced Tuesday. According to the companies, the unit will serve as the base for a new center located on Bayer's research and development campus in Berlin. Bayer and Nuvisan said they'll work together in building the new center, with the unit transfer expected to complete in the middle of this year.

Bourne Partners Corporate Video
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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 Capture
Sell-side | Consumer Health | Prescription drug disposal and opioid abuse deterrent solution

Project Athena
Sell-side | Medical Device | Novel medical device for the treatment of pelvic organ prolapse

Project Jaguar
Asset Divestiture | Generic Pharma | Basket of ANDAs

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 Vintage
Asset Divestiture | Generic Pharma | Numerous therapeutic categories
Recent Materials Providing Insight Into Healthcare Related Industries