Week of May 25th, 2020 | Vol. 9, Issue 21
In This Issue
Featured Headlines
Recent Industry Transactions
Industry Trading Comps
Recent Industry Headlines
Market Reports (See below)
Upcoming Events

Quick Links

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 .
Millicent Pharma Limited, a global pharmaceutical company formed by the Millicent Pharma management team and The Carlyle Group, today announced a definitive agreement to acquire the U.S. commercial rights to Intrarosa®(prasterone) from AMAG Pharmaceuticals, Inc. a pharmaceutical company focused on bringing innovative products to patients with unmet medical needs. Intrarosa® is a steroid indicated for the treatment of moderate to severe dyspareunia, a symptom of vulvar and vaginal atrophy, due to menopause.
The transaction value is up to $125 million, including an upfront fixed consideration of $20 million and contingent, sales-based milestone payments of up to $105 million. The transaction was facilitated by a strategic equity investment from Millicent Pharma management, investment funds advised by The Carlyle Group, and other existing investors.
Minor Hinson, Chief Investment Officer of Bourne Partners Strategic Capital, responded to the news of the transaction, saying "We are very excited about Millicent’s acquisition of Interosa from AMAG, as it clearly is synergistic with Millicent’s women’s health strategy. This is exactly the type of add-on acquisition we envisioned in our Phoenix Therapeutics Partnership with The Carlyle Group. Congratulations to the Millicent team on this acquisition."

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 $104 million
Supplies, Equipment & Services
15 transactions totaling $21 million
Healthcare IT & Managed Care
12 transactions totaling $34 million
Healthcare Facilities & Distributors
16 transactions totaling $125 million
Pharma & Biotech
32 transactions totaling $644 million
Supplies, Equipment & Services
20 transactions totaling $211 million
Healthcare IT & Managed Care
13 transactions totaling $158 million
Healthcare Facilities & Distributors
3 transactions totaling $14 million
Pharma & Biotech
43 transactions totaling $9,268 million
Supplies, Equipment & Services
15 transactions totaling $7,405 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 22, 2020 - Fierce Pharma
Outside of vaccines, GlaxoSmithKline isn’t a major producer of biologics compared with some of its Big Pharma peers. But it has just signed a big deal to scale up manufacturing in the field.
The British pharma  tapped  South Korean CDMO Samsung Biologics in a deal worth more than $231 million to help it make biologic products over the next eight years. The manufacturing capacity Samsung offers will be flexible depending on GSK’s future needs, the company said Friday.
The deal will initially cover lupus drug Benlysta, with the first commercial supply expected in 2022. The pair intends to expand the pact to other GSK specialty-care products in the future.

May 21, 2020 - Fierce Pharma
Only days after Moderna reported positive early results for its potential COVID-19 vaccine, AstraZeneca has stolen the spotlight back. On Thursday, the U.K. drug giant  scored  a $1.2 billion contribution from the United States for development, production and delivery of its potential shot starting this fall. 
The vaccine, developed by the University of Oxford’s Jenner Institute, contains the genetic material of SARS-CoV-2 spike protein. It isn’t replicating, so it can’t cause an ongoing infection in recipients, AZ  says . The company hopes the vaccine can deliver a strong immune response from one dose by triggering the body to produce the spike protein and attack the novel coronavirus upon infection. 

May 19, 2020 - BioPharma Dive
Phlow, a Richmond, Virginia-based corporation that describes itself as a public benefit drug manufacturer,  announced Tuesday  the federal government will pay it hundreds of millions of dollars to make essential medicines that are at risk of shortage, including medicines used to respond to the coronavirus pandemic.
The money comes from BARDA, or the Biomedical Advanced Research and Development Authority, which is part of the U.S. Department of Health and Human Services. The contract starts with a four-year award of $354 million, which can be extended to a 10-year award worth $812 million total.

May 19, 2020 - Fierce Biotech
When Vividion Therapeutics spun out of The Scripps Research Institute, it aimed to “dramatically expand” the roster of druggable proteins. Now, three years down the line, its efforts have yielded a “huge oilfield with tremendous potential,” its CEO says, so it’s tapping its second Big Pharma partner to exploit that potential.
Roche is handing over $135 million upfront in an option and licensing  agreement  under which Vividion will discover and conduct preclinical work on programs targeting oncology and immunology targets as well as E3 ligases, which are enzymes that play a role in protein degradation. Roche has the exclusive right to license compounds that come out of the deal at different stages of development, and Vividion can opt into sharing development costs and profits on certain programs.

May 18, 2020 - Fierce Biotech
With eyes on a phase 3 study this summer, Moderna posted promising early data for its COVID-19 vaccine. The jab prompted an immune response similar to those seen in patients who have recovered from the disease.
The study, being run by the National Institute of Allergy and Infectious Diseases (NIAID), is testing three dose levels of the vaccine, mRNA-1273, given in two injections a month apart. Eight patients who received the two lowest dose levels—25 micrograms and 100 micrograms— developed neutralizing antibodies  against SARS-CoV-2, the virus that causes COVID-19, two weeks after receiving their second dose.
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 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

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