Week of August 13, 2018 | Vol. 7, Issue 32
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Managing Director
Business Development
Jeremy C. Johnson
Managing Director
Head of M&A and Capital Advisory
INDUSTRY M&A SNAPSHOT








Above is an overview of recent industry M&A activity. For additional information, see the charts below or follow the link to the left to download complete transaction tables broken out by industry subsectors.

See below for additional information about industry trading comps and transaction relevant articles from the past week.
Tanner Pharma Group Signs Distribution Agreement With Nephcentric LLC
The agreement names Tanner as a distributor of ure-Na in areas outside the U.S., Canada, and Middle East where the product is not yet registered. 
 
Tanner Pharma Group ("Tanner"),  a global provider of integrated specialty access solutions, has announced the signing of a distribution agreement with Nephcentric LLC ("Nephcentric"), a developer and marketer of evidence based therapeutic options for people with kidney disease and metabolic disorders. The agreement names Tanner as a distributor of ure-Na (Urea 15g) in areas outside of the United States, Canada, and the Middle East where the product is not yet registered. ure-Na (Urea 15g) is a Medical Food for the management of hyponatremia. The distribution will be managed by TannerGAP, Inc. ("TannerGAP"), a wholly owned subsidiary of Tanner Pharma Group. TannerGAP offers turn key global access solutions for the distribution of products from markets of supply to markets of demand.

C ontinue Reading at Business Wire .
Aralez Pharmaceuticals To Enter Into Purchase Agreements To Sell Substantially All Assets
Transactions to be valued at an aggregate of U.S. $250 million

Aralez Pharmaceuticals Inc. (NASDAQ: ARLZ) (TSX: ARZ) ("Aralez"  or the "Company ") Aralez Pharmaceuticals Inc. announced today that it intends to enter into purchase agreements with two separate stalking-horse purchasers to sell its main operating businesses: an agreement to sell its VIMOVO® royalties and Canadian operations to Nuvo Pharmaceuticals Inc. ("Nuvo")  in a transaction valued at U.S.$110 million and an agreement to sell its TOPROL-XL® Franchise to its secured lender, certain funds managed by Deerfield Management Company, L.P., in a transaction valued at U.S.$140 million. The Company is also engaged in ongoing efforts to sell the assets not being sold in either of the proposed transactions and intends to wind down its operations following the consummation of the sales. The letters of intent signed with each of Nuvo and the Company's secured lender included the material terms of each of the proposed transactions. 

C ontinue Reading at BioSpace .
RECENT INDUSTRY TRANSACTIONSRecentIndustryTransactions
An Overview of Transactions Within Market Subsegments
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 or use the download link above. Total transaction values are provided in USD millions.



 Pharma & Biotech
 19 transactions totaling $1,077 million
 Supplies, Equipment & Services
 18 transactions totaling $203 million
 Healthcare IT & Managed Care
 1 transaction
 Healthcare Facilities & Distributors
 11 transactions totaling $106 million





Pharma & Biotech
29 private placements totaling $1,279 million
Supplies, Equipment & Services
21 private placements totaling $125 million
Healthcare IT & Managed Care
10 private placements totaling $63 million
Healthcare Facilities & Distributors
1 private placement totaling $146 million



 Pharma & Biotech
 12 public offerings totaling $754 million
 Supplies, Equipment & Services
 10 public offerings totaling $1,419 million
 Healthcare IT & Managed Care
 3 public offerings totaling $1,958 million
 Healthcare Facilities & Distributors
 2 public offerings totaling $2,000 million

INDUSTRY TRADING COMPSIndustryTradingComps
A Breakdown of Relevant Trading Multiples

Each week, w e provide updated trading  comps for leading comp-
anies from numerous healthcare subsectors.

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 to the right or use the download link from the top of this newsletter. 

Note: data reflects prior week close.
RECENT INDUSTRY HEADLINESRecentIndustryHeadlines
A Sampling of Relevant Industry Headlines from the 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.
Astellas Announces Acquisition of Quethera  
August 10, 2018 -  BioSpace
Astellas Pharma Inc. ("Astellas") and Quethera Limited  ("Quethera") today announced that Astellas has acquired Quethera, a gene therapy company headquartered in the United Kingdom, that is focused on developing novel treatments for ocular disorders, such as glaucoma. Through this transaction, Astellas has acquired Quethera's ophthalmic gene therapy program, which uses a recombinant adeno-associated viral vector system (rAAV) to introduce therapeutic genes into target retinal cells for the treatment of glaucoma. The lead pre-clinical candidate of the program has demonstrated significantly improved survival of retinal ganglion cells (RGCs) in pre-clinical models.

Sarepta builds in gene therapy with $30M Lacerta deal  
August 9, 2018 -  Fierce Biotech
Sarepta isn't allowing an ongoing issue with its lead gene therapy candidate to dampen its enthusiasm for the field. It just announced a tie-up with Lacerta will add another three programs to the eight already on its books and extends its focus beyond muscular dystrophy.

Samsung commits billions of dollars to building its biologics business
August 8, 2018 -  Fierce Pharma
Samsung has already spent billions of dollars in short order to establish one of the largest biologics manufacturing operations in the world. Today it said it will spend billions more. 
While short on details, the South Korean conglomerate announced  plans to invest $22 billion across business lines it said will propel its growth in the futurer, including artificial intelligence, auto electronics and biopharmaceuticals.  

August 8, 2018 -  BioSpace
Ambys Medicines, based in Redwood City, California, has launched  in an unusual deal with Osaka, Japan's Takeda Pharmaceutical.  First off, Ambys closed on a Series A round worth $60 million from Third Rock Ventures  and Takeda. That's fairly typical.  What is a bit unusual is Takeda is also investing another $80 million in capital to help Ambys fund its research.
 
August 7, 2018 -  Fierce Pharma
As a new production scandal undermines Chinese citizens' confidence in domestically made vaccines, the tech community is suggesting the solution may lie in a much-hyped technology: blockchain.

August 7, 2018 - Fierce Biotech
The U.K. regulatory agency has detailed  how it expects Brexit to affect its clinical trial regulations. Officials reiterated their intent for the U.K. to implement the incoming European Union Clinical Trials Regulation (CTR) and expanded on the long-term effects of Brexit on research approval processes.
August 6, 2018 -  Fierce Biotech
Regeneron and Bluebird bio have teamed up  to develop anti-cancer cell therapies. The collaboration combines Regeneron's antibody expertise with Bluebird's cell therapy toolkit in a bid to expand the list of tumors modified T cells can treat.

August 6, 2018 -  BioSpace
Scientists with Framingham, Massachusetts-based Alzheon  identified a substance in the human brain that inhibits the formation of beta-amyloid (Aβ), the primary driver of Alzheimer's disease. The substance is 3-sulfopropanoic acid (3-SPA). The company indicates that tramiprosate and its prodrug ALZ-801 are consistently metabolized in humans to a single major metabolite, 3-SPA. 3-SPA inhibits the formation of beta-amyloid oligomers, comparable to the effects of tramiprosate.

August 6, 2018 -  Fierce Biotech
Boehringer Ingelheim has secured  the option to license a cystic fibrosis gene therapy. The agreement will see Boehringer work with British academics and Oxford BioMedica (OXB) to develop an inhaled, lentiviral vector-based gene therapy treatment for cystic fibrosis. The U.K. Cystic Fibrosis Gene Therapy Consortium (GTC), one member of the collaboration, laid the groundwork for the deal 17 years ago when it began exploring the viability of treating cystic fibrosis with a gene therapy. Since then, the academic partners from Edinburgh, London and Oxford that make up the GTC have taken a lentiviral vector gene therapy to the cusp of clinical development.
August 6, 2018 -  BioSpace
Jazz Pharmaceuticals, Inc. (Nasdaq: JAZZ) and The University of Texas MD Anderson Cancer Center  today announced a five-year collaboration agreement with a goal of evaluating therapies for multiple hematologic malignancies, including acute myeloid leukemia (AML) and myelodysplastic syndromes. The joint effort brings together MD Anderson's translational medicine and clinical research capabilities with Jazz's hematology/oncology portfolio, including its FDA-approved medicines as well as current and potential future investigational therapies.
MARKET REPORTSUpcomingEvents
Recent Reports Providing Insight Into Healthcare & Related Industries
UPCOMING EVENTSUpcomingEvents
An Overview of Events Hosted or Attended by the Bourne Partners Team
PBOA Annual Meeting & Conference
September 17 - 18, 2018 | Bethesda, MD
Contract Pharma: 2018 Contracting & Outsourcing Conference
September 27 - 28, 2018 | New Brunswick, NJ
As an international, healthcare-focused merchant bank and financial advisory firm, we provide world-class services and capital to middle-market healthcare companies around the globe.  We aim to keep our clients well-informed of healthcare news and events.  With this additional insight in mind, together, we can recognize trends and opportunities that benefit our clients.  We hope that you will reach out to Bourne Partners to help execute your healthcare operational and transactional needs.  To learn more about our firm, visit our website or utilize the links below to engage with us on social media. 

Sincerely,

The Bourne Partners Team

Bourne Partners
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