Week of December 18, 2017 | Vol. 6, Issue 49
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Managing Director
Business Development

Jeremy C. Johnson
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 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.
Little reMYND Forges 350M+ Euros Tie-Up With Drug Giant Novo Nordisk
reMYD's pre-clinical diabetes therapy ReS39 will get a significant boost after the company entered a licensing agreement with Novo Nordisk

Novo Nordisk struck a deal worth up to 350 million  (about $413 million) to develop the reMYND drug. reMYND's investigational ReS39 sustains and increases the endogenous insulin production capacity of the pancreas by restoring beta-cell function and insulin signaling in Type 1 and Type 2 diabetes animal models, the company said.  "Even though symptomatic treatments work well, diabetes patients would greatly benefit from restoring durably their endogenous insulin production and/or increasing insulin sensitivity. Novo Nordisk's agility to step-in once they observed the effects of our ReS39 treatment in their own hands makes the road ahead all the more exciting," Koen De Witte, managing director of reMYND, said in a statement. In its Nov. 1 quarterly call, Novo Nordisk Chief Executive Officer Lars Fruergaard Jorgensen said sales of diabetes drugs Tresiba and Victoza grew 118 percent and 15 percent, respectively in the United States. Novo Nordisk, like other companies that have significant diabetes franchises, is under pricing pressure in the United States for its treatments. 

C ontinue Reading at  BioSpace.

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
 11 transactions totaling $286 million 
 Supplies, Equipment & Services
 19 transactions totaling $65 million
 Healthcare IT & Managed Care
 7 transactions 
 Healthcare Facilities & Distributors
 5 transactions totaling $20 million

Pharma & Biotech
31 private placements totaling $718 million
Supplies, Equipment & Services
13 private placements totaling $301 million
Healthcare IT & Managed Care
8 private placements totaling $39 million
Healthcare Facilities & Distributors
5 private placements totaling $8 million

 Pharma & Biotech
 22 public offering totaling $1,654 million
 Supplies, Equipment & Services
 3 public offerings totaling $2 million
 Healthcare IT & Managed Care
 2 public offerings totaling $399 million
 Healthcare Facilities & Distributors
 1 public offering

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.
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.
December 15, 2017 -  Fierce Biotech
Little biotech startup Jnana Therapeutics has a big plan. It wants to unlock the potential of a massively underexplored class of membrane proteins it calls the cell's "metabolic gates"-with the help of $50 million in first-round funding.  The Boston-based company says  it is focusing on a class of proteins called solute carriers (SLCs), a supergroup with some 400 members arranged across more than 50 families which are involved in transporting substances across cell membranes.

December 14, 2017 - BioSpace
Izana Bioscience launches today as a new clinical-stage translational medicine company.  Izana is initially focused on the development of namilumab (IZN-101) in ankylosing spondylitis, and has entered into an exclusive worldwide licence agreement with Takeda Pharmaceutical Co. Ltd.  (TSE: 4502) for the right to develop, manufacture and commercialise the product in all indications.  As part of the licence agreement, Takeda has taken a strategic equity stake in Izana.  

December 14, 2017 -  Fierce Biotech
The AMR Centre (AMRC) has teamed up  with Russia's Skolkovo Foundation to further development of therapies that overcome microbial resistance. AMRC will provide preclinical support to startups working out of an incubator overseen by the foundation. Skolkovo has succeeded in incubating a large number of biomedical startups. But its antimicrobial efforts are underdeveloped and cut off from international funding, shortcomings Skolkovo is looking to AMRC to help address.

December 13, 2017 -  Fierce Biotech
California startup Pionyr is using $62 million of VC-backed funding to target antibodies in the tumor microenvironment.  The early-stage, San Francisco-based biotech has a batch of preclinical antibody programs, two of which are nearing IND-enabling studies targeting solid tumors. These programs are directed at myeloid tuning in the tumor microenvironment.

Vernalis, Daiichi form oncology drug discovery collaboration
December 13, 2017 -  Fierce Biotech
Daiichi Sankyo has tapped  Vernalis for its drug discovery expertise. The agreement will see Vernalis turn its fragment and structure-based drug discovery platform on undisclosed cancer targets. Japan's Daiichi is making undisclosed financial commitments to access the platform. Previous deals suggest the sum will be fairly small, at least in the near term. Servier paid €2 million ($2.4 million) upfront and committed more in fees, milestones and other payments to strike a one-target cancer agreement based on the same drug discovery platform in March.

Hospital operators in merger talks to form U.S. industry leader: WSJ  
December 10, 2017 - Reuters
Ascension Health and Providence St. Joseph Health are in talks about a merger between the two Catholic non-profits that would create the largest U.S. hospital chain, the Wall Street Journal reported on Sunday, citing people familiar with the discussions.  A deal between St. Louis-based Ascension and Renton, Washington-based Providence would give the combined entity 191 hospitals in 27 states and annual revenue of $44.8 billion, the Journal reported. That would surpass the current largest U.S. hospital operator, HCA Healthcare Inc,  a for-profit company.
Current Opportunities Available Through Bourne Partners
Project Longhorn 
Sell-side M&A
Southeastern US  |  CDMO  |  Approximately $85mm Revenue  |   Approximately $8mm EBITDA

Project Crimson 
Sell-side M&A
Southeastern US  |  CMO  |  Approximately --- Revenue  |   Approximately --- EBITDA

Project Ocean 
Sell-side M&A
Northeastern US  |  CDMO  |  Approximately $6mm Revenue  |   Approximately NM EBITDA

Project Magnolia 
Sell-side M&A
Mid-Atlantic US  |  CRO  |  Approximately $25mm Revenue  |   Approximately NM EBITDA
An Overview of Events Hosted or Attended by the Bourne Partners Team
36th Annual J.P.Morgan Healthcare Conference
January 8-11, 2018 | San Francisco, CA
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. 


The Bourne Partners Team

Bourne Partners
550 South Caldwell Street
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