Life Sciences & Healthcare Newsletters
Kempen & Co 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 November 2020 ECM update below.
- Median value of pre-commitments in IPOs of European life sciences companies from 2015 – 2020YTD generally ranges from 30% - 50%
- Slightly higher level of pre-commitments for US listed companies compared to European listed companies
- Relative spikes in US IPOs in years of higher volatility (2016, 2018, 2020), requiring additional de-risking of transactions
- Pre-commitments are seen as a must-have for development stage companies to go public
- Since 2015, Kempen & Co has been involved in the IPOs of Biocartis, Kiadis Pharma, Sequana Medical, Hyloris Pharmaceuticals, argenx (secondary listing), HOOKIPA Pharma, Genmab (secondary listing), BioNTech, CureVac and Galecto
NOTE: EU listing excludes eastern European companies; Only includes IPOs for which pre-commitments were publicly disclosed (measured at launch)
Source: Dealogic and Kempen & Co analyses; data per 31 Oct 2020
Kempen & Co European Life Sciences M&A update - January 2020
F2020 in review I Life sciences and healthcare M&A activity stands tall
- The total deal volume for 2020 remained stable, with 167 European-linked life sciences and healthcare M&As versus 173 in 2019. The COVID-19 pandemic did have an effect on the total deal value (c. -50%) in 2020 compared to 2019. Big Pharma held their wallets tight, as their total spending decreased by 63% compared to 2019. Medtech bidder spending went up significantly, however, this increase was primarily driven by Siemens Healthineers €13.6bn acquisition of Varian Medical systems.
- There is an increased focus on acquiring early-stage assets, 80% of the Biotech targets were in pre-clinical to Phase II development. Big Pharma took 5 pre-clinical Biotechs off the market, indicating an increased focus on leveraging their in-house development capabilities.
- Oncology Biotechs remained the most popular targets in 2020, with 7 transactions. Including the merger between Swedish Immunicum and Dutch DCprime, combing forces to establish a European leader in cell-based cancer immunotherapies. Kempen & Co acted as the financial advisor to DCprime.
- Moreover, Kempen & Co acted as financial advisor in the acquisition of Fidelta (a subsidiary of Galapagos) by Selvita and the merger between Immatics and Arya Sciences Acquisition Corp, a US-based SPAC.
Notes: 1. Includes transactions involving a European target, a European acquirer, or both; €25m minimum disclosed deal value; between 1 January 2020 and 31 December 2020. 2. Selection of the 25 largest pharmaceutical companies based on market cap (analysis of Big pharma deal activity at global level). Source: Company press releases, Bloomberg, Mergermarket, Kempen & Co analysis Sources: Company's press releases, Bloomberg, Mergermarket, and Kempen & Co analysis