Week of June 29th, 2020 | Vol. 9, Issue 26
In This Issue
Featured Headlines
Recent Industry Transactions
Industry Trading Comps
Recent Industry Headlines
Market Reports (See below)
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.

For more information about our consumer healthcare JV with The Emerson Group, Daybreak Consumer Care, click here .
CSL Behring has  struck  a deal to buy uniQure’s late-phase hemophilia B gene therapy AMT-061 for $450 million upfront. The agreement will catapult CSL to the front of the race to bring a hemophilia B gene therapy to market, pitting it against companies including Pfizer. 

UniQure has turned perceptions of its hemophilia B gene therapy around in recent years. After clinical data suggested it would struggle to match the efficacy of Pfizer and Spark Therapeutics’ SPK-9001, uniQure switched from wild-type factor IX (FIX) to gene variant FIX Padua and began posting stronger results. The change in fortunes dialed up uniQure’s value and talk of a takeover.

Now, CSL is set to pick up the hemophilia B gene therapy without acquiring the rest of uniQure. The deal features a $450 million upfront payment and up to $1.6 billion in milestones, $300 million of which are tied to regulatory events and first commercial sales. CSL is also on the hook for tiered royalties that top out a little above 20%.

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
19 transactions totaling $2,085 million
Supplies, Equipment & Services
14 transactions totaling $117 million
Healthcare IT & Managed Care
3 transactions
Healthcare Facilities & Distributors
11 transactions totaling $16 million
Pharma & Biotech
38 transactions totaling $2,267 million
Supplies, Equipment & Services
22 transactions totaling $254 million
Healthcare IT & Managed Care
11 transactions totaling $37 million
Healthcare Facilities & Distributors
3 transactions totaling $15 million
Pharma & Biotech
42 transactions totaling $2,493 million
Supplies, Equipment & Services
19 transactions totaling $2,418 million
Healthcare IT & Managed Care
1 transaction totaling $86 million
Healthcare Facilities & Distributors
1 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.
June 24, 2020 - Fierce Biotech
Merck is willing to spend $500 million-plus on a deal that sees it gain access to a clutch of Yumanity’s neurodegenerative disease drugs.
The U.S. Big Pharma nabs exclusive rights for two preclinical assets targeting amyotrophic lateral sclerosis (ALS) and frontotemporal lobar dementia (FTLD). ALS causes a gradual deterioration and death of motor neurons, and will usually prove fatal.
There are currently four drugs approved by the U.S. FDA to treat ALS: Radicava, Rilutek, Tiglutik and Nuedexta, with Radicava the most recent with a 2017 FDA approval. But none of these drugs are curative and are limited in who they can help, and by how much.

June 24, 2020 - BioPharma Dive
La Jolla Pharmaceutical will pay $43 million cash to buy Tetraphase Pharmaceuticals, its bid making La Jolla the third company in 2020 to attempt to take over the struggling antibiotic specialist.
La Jolla's bid was $4 million more than what Melinta Therapeutics offered a few weeks ago. Earlier this year, AcelRx started a bidding war with an all-shares offer that valued Tetraphase at $14 million, which it increased to $37 million after Melinta entered negotiations.
The offers are a far cry from Tetraphase's $1.8 billion valuation in 2015 as its drug Xerava was approaching readouts from Phase 3 trials. Xerava is now Tetraphase's only product, but it's struggled commercially. Physicians often reserve new antibiotics for more severe cases, fearing the bacterial resistance that has made older products less effective.

June 23, 2020 - Fierce Biotech
The medical community expressed caution when researchers in England said the widely used steroid dexamethasone could save the lives of seriously ill COVID-19 patients. Health experts demanded a full report to be convinced. Now, they have more data to consider, though not yet from a peer-reviewed journal.
According to results published on the preprint site  medRxiv , use of 6mg dexamethasone for up to 10 days indeed led to a 35% reduction in death rate among patients on invasive mechanical ventilation after 28 days of treatment.
That said, the 29% death rate for these critically ill patients is still not low, though significantly lower than 40.7% with usual care.

June 23, 2020 - Fierce Biotech
As it continues with its small to medium-sized biotech deals, Gilead Sciences has put down $275 million for a 49.9% share in immuno-oncology biotech Pionyr Immunotherapeutics with the option to buy it out completely should it pass muster in early clinical tests.
This  buyout would cost  another $315 million, with around $1 billion in backloaded biobucks also on the cards.
For its cash, Gilead can tap Pionyr's tech, known as myeloid tuning, which is designed to rebalance the tumor microenvironment to favor immune-activating myeloid cells over immune-suppressing myeloid cells. This activity is believed to enhance anti-tumor efficacy, particularly in combination with checkpoint inhibition.
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 Aspen
Sell-side | Pharma Services | Multi-national contract manufacturing and packaging organization

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

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 Olympus
Sell-side | Pharma | Portfolio of generic injectable products
Recent Materials Providing Insight Into Healthcare Related Industries