Top Merger And Acquisition In Overview
The year 2019, was of the megamerger and blockbuster acquisition most of the key player were involved in the boradening the prodiuct portfolio and strentening their positions bellow mentioned are the top acquistion of 2019. Biopharma M&A received a big boost moneywise in 2019. The top 3 mergers together delivered more than $150Bn. Celegene also broke the records to become the biggest pharma deal ever with the value of $74Bn.
1. Bristol-Myers Squibb/Celgene
2. AbbVie/Allergan
3. Amgen/Celgene's Otezla
4. Mylan/Pfizer's Upjohn
5. Pfizer/Array BioPharma
6. Novartis/The Medicines Company
7. Eli Lilly/Loxo Oncology
8. Elanco/Bayer animal health
9. Roche/Spark Therapeutics
10. Novartis/Takeda's Xiidra
Most of the M&A were surrounded round oncology theme the whole year involving Bristol-Myers and Celgene the cancer bigwigs announced in January, to buyouts of earlier stage companies, including Merck & Co $2.7Bn ArQule deal and Sanofi’s $2.5Bn Synthorx takeover, both of which went public in Decemeber.
Further, Eli Lily’s $8Bn buyout of Loxo Oncology and Pfizer’s $11.4Bn tie up with Array BioPharma, and some major licensing deals were also closed in 2019. For instance, AstraZeneca and Daiichi Sankyo’s potential $6.9Bn partnership on FDA approved HER2-targeting antibody drug conjugate Enhertu.
Gene therapy also remained a hot pick while merger and acquisition. Roche in 2019 acquired Spark Therapeutics. While Biogen immediately came up with $877 Mn purchase of Oxford University spinout Nightstar Therapeutics for the ophthalmology gene therapies.
In December, Astellas revealed buying Audentes Therapeutics for $3 Bn, this deal is expected to give a set of gene therapy pipelinein neuromuscular disease.
However, the focus of Novartis shifted their trend from radiotherapy deals in 2019. As Novartis invested in 3 different fields with $9.7Bn for Medicines Company to get its hands on PCSK9 cardiovascular drug inclisiran, $3.4 billion upfront for Takeda’s dry eye drug Xiidra, and also folded IFM Therapeutics inflammatory disease-focused subsidiary IFM tre with the deal of worth up to $1.58Bn.
Future Insights
In 2020, the LifeScience companies may look out for smaller acquisitions rather than megamergers, the 2020 key player to look after is Sanofi for both buyer and a seller.
Bristol-Myers Squibb/Celgene
The merger was announced with start of 2019 with a cash and stock deal for Celgene which valued at $74Bn. The merger was also a big win for the biotech’s shareholders. The acquisition created the globe largest oncology franchise, with BMS checkpoint inhibitors, Opdiva and Yervoy and Celgene’s myeloma therapies Revlimid and Pomalyst, cancer drugs are expected to make p $23Bn of the combined company’s annual revenue of $33Bn.
Further, it was wondered that Celgene’s fast growing Otezla together with BMS investigational TYK-2 inhibitor BMS-986165 would give the new firm too much control over psoriasis market.
However, the as for the FTC, the combo won approval after Celgene agreed to sell Otezla to Amgen for $13.4Bn
On Nov 20, Bristol-Myers closed the takeover, officially putting an end to Celgene’s 34-year run, along the way the Celgene portfolio has turned up some positive news.
Merger announced: Jan 3, 2019
Merger Value: $74Bn