Wizenius

JUNE 28, 2023

Valuation is a complex art that requires a deep understanding of financial modeling and various influencing factors. Below are few factors that shape growth rate assumptions and present real-world examples from different geographies to shed light on the art of valuation. Take your career to new heights in the dynamic world of finance.

DCF

InvestmentBank.com

SEPTEMBER 18, 2019

Major Players in the M&A Scene Amazon’s acquisition of PillPack is the largest acquisition of a DTC nutraceutical company on record with a $753 million price tag in 2018. Amazon’s strategic acquisition of PillPack shows its determination to diversify into the drug-delivery market. EBITDA multiple.

Food

Cooley M&A

JANUARY 22, 2020

A wave of big-ticket transactions by global pharmaceutical companies drove life sciences M&A activity to its fourth-largest year on record in 2019, with aggregate deal value in the pharmaceutical, medical and biotech industry reaching $234.2 billion acquisition of The Medicines Company. The Art of the Life Sciences Deal.

M&A

Peak Frameworks

SEPTEMBER 18, 2023

A recent example of this would be Tesla's acquisition of Grohmann Engineering in Germany. Consider a pharmaceutical giant like Pfizer , which imports raw materials for its drugs. The Importance of FOB for Financial Professionals Valuation Considerations FOB can directly impact the valuation of goods.

Private Equity

Cooley M&A

JANUARY 23, 2024

While the year saw an overall decline in M&A activity (down 17% from 2022) , total pharmaceuticals and life sciences deal value in 2023 increased by approximately 50% compared to 2022. billion; Bristol Myer Squibb’s acquisition of RayzeBio for $4.1 billion; and Roche’s acquisition of Carmot Therapeutics for up to $3.1

M&A

Peak Frameworks

SEPTEMBER 19, 2023

company to hit a $1 trillion valuation , it directly benefited shareholders. This deep involvement requires them to understand: Shareholder Interests: To gauge the return on investment and determine the valuation of potential deals. Shareholders: are primarily concerned about financial returns.

Corporation

Cooley M&A

JANUARY 25, 2023

Amid depressed valuations, biotechnology companies also saw an increasing number of demands from activist investors that in certain cases led to more deal activity. For example, the sale of Horizon Therapeutics to Amgen for approximately $28 billion was the third-largest all-cash transaction in the pharmaceutical sector in history.

M&A

Mergers and Inquisitions

NOVEMBER 1, 2023

Mispriced Companies and Assets – Some mature healthcare firms trade at low valuation multiples , often because the market misunderstands their contracts, revenue, or track record. PE firms view these companies as especially appealing since low multiples mean they can use higher debt percentages to fund the acquisitions.

Private Equity

Software Equity Group

AUGUST 20, 2024

One strategy gaining momentum is the acquisition of high-growth SaaS companies. This opens the door to significant investment and acquisition opportunities for SaaS companies from strategic buyers within and outside of the software industry. The company made 15 acquisitions in 2023. But value extends far beyond market access.

Investment

Cooley M&A

FEBRUARY 8, 2018

No longer just “acquihires,” today’s innovation-driven acquisition is focused on talent retention. See ABA Private Target Mergers & Acquisitions Deal Point Study for 2016-2017. Second, the FTC continues to aggressively target pharmaceutical companies in connection with mergers and acquisitions. million to $84.4

M&A

Cooley M&A

OCTOBER 29, 2018

M&A practitioners have long advised boards of directors that the Delaware courts have never found that the events or circumstances in a particular transaction met the contractual standard of having a material adverse effect (or MAE) as defined in a merger or acquisition agreement. We can no longer give this advice. The Merger Agreement.

Mergers and Acquisitions

Cooley M&A

JULY 10, 2017

However, where there are too many unaccredited investors, parties may be unwilling or unable to pay the present cash value of the future earn-outs to the unaccredited investors (which would require a valuation of the future earn-outs). acquisitions of pharmaceutical products with clinical, regulatory and/or net sales milestones).

Securities

Cooley M&A

JANUARY 30, 2024

These dynamics help explain why, despite significant sector-wide declines in public tech and life sciences company valuations from 2021 peaks, we have yet to mark a dramatic increase in activism campaigns relative to historical levels: for many would-be targets, there was no clear “fix” available. We’ve listed select key examples below.

Private Equity

M&A Leadership Council

JUNE 12, 2023

Second, impact to deal valuation or terms. Concerning valuation or deal terms, the earlier you detect a breach or a strong possibility of a breach, the better so you can help corporate development decide how best to address the issues. MH: We often talk about due diligence findings in three successive phases.

IT

M&A Leadership Council

SEPTEMBER 9, 2021

Second, impact to deal valuation or terms. Concerning valuation or deal terms, the earlier you detect a breach or a strong possibility of a breach, the better so you can help corporate development decide how best to address the issues. MH: We often talk about due diligence findings in three successive phases.

IT

Cooley M&A

JANUARY 22, 2021

The second half of the year witnessed a rebound spurred by several multibillion-dollar deals, including Gilead’s acquisition of Immunomedics for nearly $21 billion and AstraZeneca’s proposed acquisition of Alexion Pharmaceuticals for $39 billion. Earnouts Remain Popular – and Difficult.

M&A

Cooley M&A

JANUARY 20, 2022

1] Major all-cash acquisitions have followed, such as Arena Pharmaceutical’s agreement to sell to Pfizer for $6.7 1] Major all-cash acquisitions have followed, such as Arena Pharmaceutical’s agreement to sell to Pfizer for $6.7 billion , Acceleron Pharma’s agreement to sell to Merck for $11.5 With COVID?19

M&A

Cooley M&A

FEBRUARY 15, 2017

After some highly anticipated IPOs in the first half of 2017, we expect the reopening of capital markets in the latter half of the year to provide more stabilized valuations for companies, which should lead to more normalcy in M&A and strategic combinations.

M&A

Focus Investment Banking

MAY 14, 2025

Most recently, pharmaceutical company Johnson & Johnson announced a $55 billion investment in US manufacturing, as well as Hyundai Motors who announced a commitment of $21 billion in domestic manufacturing from 2025 to 2028. The uncertainty of tariffs in President Trumps second term, however, is likely temporary.

Manufacturing

InvestmentBank.com

MAY 18, 2021

The healthcare industry is formed of numerous subsectors including pharmaceutical services, diagnostics, medical technologies, and managed healthcare. Payor services and pharmaceutical services have generated the most return throughout 2016 and in 1Q 2017. The pharmaceutical industry is valued highly given the performance of buyouts.

Healthcare

Focus Investment Banking

DECEMBER 20, 2024

Private equity-backed ophthalmology groups have seen significant growth over the last eight years, with more than 30 platforms establishing themselves in the market; most completing numerous add-on (individual practice) acquisitions. to a strategic buyer confirms the value retina practices hold for healthcare investors and operators.

Private Equity

Focus Investment Banking

FEBRUARY 11, 2025

McKessons acquisition of PRISM Vision Group is an important milestone for private equitys investments in optometry practices. PRISM was founded in 2018 with Quad-C Managements acquisition of NJ Retina, a large Retina practice in New Jersey. Since then, PRISM has partnered with more than 20 ophthalmology groups throughout the Northeast.

Private Equity

Focus Investment Banking

FEBRUARY 17, 2025

Many of those organizations are nearing their own recapitalization events and will seek add-ons to increase their valuations. Infusion Pharmacy Pharmaceutical innovations have produced an increasing number of highly specialized drug products and treatment programs, which may be customized even to the patient level.

Private Equity

Mergers and Inquisitions

MARCH 19, 2025

But customer acquisition costs via Google and Facebook ad campaigns have risen over time and eaten into margins, so building a brand is still difficult. To give a deal example, well look at Sycamores ~$24 billion acquisition of Walgreens , which had been a public company for almost 100 years.

Private Equity