Beyond Borders: Global biotechnology report 2010
Beyond Borders: Global biotechnology report 2010
Beyond Borders: Global biotechnology report 2010
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US$31 million, down from US$38 million<br />
in 2008. We count 21 transactions in 2009<br />
with up-front payments of US$50 million<br />
or more, which in aggregate represents<br />
approximately two-thirds of the total<br />
up-front payment amount — also relatively<br />
unchanged compared to 2008.<br />
Europe<br />
M&As<br />
After a strong showing in 2007, M&A<br />
activity in Europe has declined significantly.<br />
In 2008, the total value of M&As involving<br />
a European biotech company declined to<br />
only €3.1 billion (US$4.3 billion), and then<br />
fell even further in 2009, to €1.8 billion<br />
(US$2.5 billion).<br />
There were few significant M&A transactions<br />
involving European biotechs in 2009. The<br />
most significant transaction not involving<br />
CVRs was the merger between Biovitrum<br />
and Swedish Orphan International, valued<br />
at €337 million (US$470 million). The<br />
combined company has a significant<br />
portfolio of niche drugs on the market and<br />
in development. There were three other<br />
transactions with potential values of at least<br />
€300 million (US$418 million), but all three<br />
included CVRs. These were the previously<br />
mentioned Alcon acquisition of ESBATech,<br />
sanofi-aventis’ takeover of France-based<br />
ophthalmic company Fovea Pharmaceuticals<br />
for up to €370 million (US$516 million;<br />
milestones were not disclosed) and<br />
AstraZeneca’s acquisition of Novexel for<br />
US$505 million (including milestones of<br />
US$75 million).<br />
Alliances<br />
In both 2009 and 2008, there were 57<br />
alliances with financial terms disclosed<br />
involving European biotech companies. The<br />
European M&As, 2005–09<br />
Pharma-biotech megadeals Pharma-biotech Biotech-biotech<br />
Value (€b)<br />
18<br />
16<br />
14<br />
12<br />
10<br />
8<br />
6<br />
4<br />
2<br />
0<br />
Source: Ernst & Young, Windhover Information, MedTRACK, BioWorld and company news via NewsAnalyzer<br />
European alliances held steady in 2009<br />
Pharma-biotech Biotech-biotech<br />
Value (€b)<br />
12<br />
10<br />
8<br />
6<br />
4<br />
2<br />
2005 2006 2007 2008 2009<br />
0<br />
2005 2006 2007 2008 2009<br />
Source: Ernst & Young, Windhover Information, MedTRACK, BioWorld and company news via NewsAnalyzer<br />
Chart shows potential value, including up-front and milestone payments, for alliances where deal terms are publicly disclosed.<br />
83
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