Life Sciences & Healthcare  Newsletters

Kempen European Life Sciences ECM update 

  • Monthly update on Equity Capital Markets of European Life Sciences companies
  • Provides insights on market developments, financing transactions, share price developments and other relevant insights in the field of ECM
  • Example analysis from the August 2019 ECM update below 

 

  • For 2019YTD, the median amount European Nasdaq-listed Life Sciences companies raised via follow-on offerings was €138m; for European-listed companies  €29m, respectively
  • For Nasdaq-listed European companies this number increased with by 194% when compared to 2015. On stock exchanges in Europe, the median amount remained fairly flat throughout this period
  • The number of follow-on offerings of European/EU-listed Life Sciences companies stayed rather stable over the past years while (from 2016 to 2018) it continously increased for European Life Sciences companies listed on Nasdaq

Footnote 1. For follow-on offerings we included: ABBs, Cash Placings, Right Issues, PIPEs ,Fully Marketed placements and Guaranteed Preferential Allocations. Deals that were included were >€10m, country of origin is Europe (excluding UK and big pharma). Source: Dealogic, Kempen analysis as per 31 July 2019

Kempen European Life Sciences M&A update

  • Bi-monthly update on Mergers & Acquisitions of European Life Sciences companies
  • Provides insights on the current M&A climate, recent developments, transactions and other relevant insights in the field of M&A
  • Example analysis from the July 2019 M&A update below

Acquiring revenue best way to stay, or get, on top

 
 
 

 
 
  • With their recent mega acquisitions both Abbvie (Allergan, May 2019) and Bristol-Myers Squib (Celgene, January 2019) gained a pharma top 10 position when ranked by yearly revenues. Key revenue contributors are Allergen’s famous Botox, adding a total of $3.6bn (2018 sales) to the revenues of AbbVie; and Celgene’s top selling drug Revlimid, adding $9.7bn (2018 sales) to the revenues of Bristol-Myers Squib.
  • Takeda is another new entrant in the global top 10 ranking thanks to its revenue-bolstered acquisition of Shire that was completed early 2019. 
  • Not surprisingly, the pharmaceutical companies moving down on the ladder correspondingly show a much lower level of multi-billion M&A volume between 2013 – 2019YTD.
  • While positioned at #2, Roche spent only $16bn on large acquisitions between 2013-2019YTD; this makes them the lowest spender in the top 5. But we should not forget that Roche spent $47bn on Genentech in 2009. This Roche-Genentech synergy created Herceptin and Avastin, that are currently the two top selling drugs of Roche with sales of $6.9bn and $6.7bn, respectively. 

Footnote 1) ranked are top 10 pharmaceutical companies in terms of 2018 total revenues adjusted for newly acquired entities not yet included in 2018 revenues. 2) Difference in combined 2018 revenues with 2013 reported annual revenues
Sources: Company’s press releases and Annual Report 2018, Kempen analysis dating 4 July 2019

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