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 December 2018 ECM update below

Pricing discounts in European Life Sciences ECM transactions (2016-2018YTD)*

  

• Private Placements (PPs) are regularly executed by means of a private investment in public equity (“PIPE”) or accelerated bookbuild offering (“ABB”). Over the last three years, PPs closed with a median discount of 7.7%, and a min-max range between 1.3 – 25%. 
• Rights Issues typically allow corporates to raise more capital than via PIPE or ABB. Market exposure and discounts are substantially higher, with a median discount to TERP of 18.8% over the last three years, and a min-max range between 0.2 - 38.6%
  
   

Source: Dealogic, Kempen analysis as per 28 November 2018
* Deal size > €10m. Discount to TERP is applied for rights issues  

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 November 2018 M&A update below

• The 25 largest pharma companies have seen market cap and cash levels to increase steadily over the last years
• M&A financing through equity and/or cash has become increasingly available
• Management will likely be pushed by investors to deploy its resources for value-creating M&A acquisitions

Source: Kempen analysis, CapitalIQ

Analysis methodology: Selection of the 25 largest pharmaceutical companies based on market cap. For 2016 and 2017, year end figures have been used.

Analysis based on data as reported on 1 November 2018.