Week of May 11th, 2020 | Vol. 9, Issue 19
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 .
Rare disease drugmaker Alexion will buy Portola Pharmaceuticals for $1.44 billion, the latest deal aimed at expanding its business beyond Soliris, its flagship product and top-selling therapy. 
Alexion will pay $18 per share for Portola, a roughly 130% premium over Portola's closing stock price on May 4. Even with the sizable premium, however, Alexion is acquiring the biotech at a discount to the roughly $24 per share at which Portola traded to begin 2020. 
By buying Portola, Alexion is betting it can greatly increase sales of Portola's chief drug Andexxa, which is used to reverse the effects of popular blood thinning drugs like Xarelto and Eliquis. Since winning U.S. approval for Andexxa in May 2018, Portola has had trouble building a market for the drug.  

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
14 transactions totaling $3,078 million
Supplies, Equipment & Services
9 transactions totaling $103 million
Healthcare IT & Managed Care
4 transactions totaling $105 million
Healthcare Facilities & Distributors
7 transactions totaling $25 million
Pharma & Biotech
27 transactions totaling $1,580 million
Supplies, Equipment & Services
19 transactions totaling $110 million
Healthcare IT & Managed Care
9 transactions totaling $204 million
Healthcare Facilities & Distributors
1 transaction totaling $39 million
Pharma & Biotech
26 transactions totaling $6,725 million
Supplies, Equipment & Services
23 transactions totaling $4,695 million
Healthcare IT & Managed Care
0 transactions
Healthcare Facilities & Distributors
0 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.
May 7, 2020 - Fierce Biotech
PTC Therapeutics is adding to its rare disease pipeline with a midstage biotech buyout with a low upfront payment tied in with stock and biobucks.
The company is Censa Pharmaceuticals, a little-known biotech that late last year reported  encouraging data  from a phase 2 study of its asset CNSA-001 (sepiapterin), an experimental med set up for orphan metabolic diseases including phenylketonuria (PKU) .
PKU is a rare, inherited metabolic disorder caused by mutations in the phenylalanine hydroxylase (PAH) gene. Patients with mutations in the PAH gene inefficiently metabolize phenylalanine (Phe), leading to potentially toxic levels of Phe in the blood and serious resulting health problems.

May 7, 2020 - Fierce Pharma
GlaxoSmithKline has offloaded a chunk of its consumer health business in a deal that earned the company more proceeds than expected.
On Thursday, GSK said it sold its entire 5.7% stake in Unilever’s Indian business, known as Hindustan Unilever, for Rs. 254.8 billion ($3.35 billion). The British pharma got its hands on the shares in its divestment of Horlicks drinks and other consumer health nutrition brands to Unilever, a deal that just wrapped up in April.
Size-wise, the deal  topped  another major Indian transaction in recent memory—Daiichi Sankyo’s now-infamous $3.2 billion sale of Ranbaxy Laboratories to Sun Pharma in 2015.

May 5, 2020 - BioPharma Dive
Pfizer and BioNTech on Tuesday  said  the first healthy volunteers have received the companies' coronavirus vaccine in a U.S. trial, following the completion of dosing in a Germany-based study last week.
The U.S. trial will expand to four sites, first testing the vaccine in adults under age 55 and extending to those 65 to 85 once data from the younger enrollees show it's safe and stimulates an immune response to coronavirus. Four different prototypes of the vaccine will be tested in the trial, which will enroll 360 people.
Pfizer and BioNTech expect to have initial data from the trial in late May or June. Pfizer is also preparing to scale up manufacturing to deliver millions of doses by the end of 2020.

May 1, 2020 - FiercePharma
Days after U.S. officials and others reported the first positive controlled data for Gilead's remdesivir in COVID-19, the FDA has given the drug an emergency use authorization.
President Donald Trump and Gilead CEO Daniel O'Day made the announcement Friday afternoon at the White House,  according  to CNBC's Meg Tirrell.
An FDA  fact sheet  on the emergency authorization says there are no FDA-approved products for COVID-19, but that Gilead's drug "may benefit certain people in the hospital." In the FDA's  emergency approval letter , FDA chief scientist Denise Hinton said the emergency nod is warranted because of the lethal nature of COVID-19 and the lack of approved treatments. The emergency approval is limited to patients with severe disease.
Bourne Partners Corporate Video
Welcome to Bourne, let's talk.

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

Other Opportunities:
What: Turn key specialty pharmacy licensed in all 50 states
  • Contracts with key payers 
  • Ideal platform for specialty products pharma company that seeks to manage distribution for their products in-house
  • Current pharmacy business supports overhead of high performance pharmacist team, current RX business can be moved to other pharmacies if buyer seeks to exclusively distribute an in-house product
For more details contact rstanley@bourne-partners.com
Recent Materials Providing Insight Into Healthcare Related Industries