DEALS ANALYSIS
Deals activity: Mergers increase YoY; oncology deals on the rise
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Deals activity by geography
Pharma industry deals, as captured by GlobalData’s Pharmaceuticals Intelligence Centre, are down year-on-year (YoY) across all regions.
North America is leading in terms of deal value, but recorded the lowest YoY growth in deals volume at -49%. South and Central America, ranking last in terms of deal value, has seen notable YoY change, with deal volumes decreasing by 40%.
The volume of deals recorded by GlobalData also decreased YoY in Asia-Pacific (40%), Europe (24%) and Middle East and Africa (31%).
Deals activity by type
| Deal type | Total deal value (US$m) | Total deal count | YoY change (volume) |
| Partnership | 471,737 | 18,111 | 27 |
| Venture Financing | 233,134 | 18,278 | 109 |
| Contract Service Agreement | 1,860 | 18,631 | 429 |
| Equity Offering | 926,121 | 16,485 | 164 |
| Licensing Agreement | 722,003 | 13,639 | 64 |
| Grant | 295,731 | 988,694 | 100 |
| Acquisition | 3,693,356 | 10,830 | 3 |
| Debt Offering | 1,771,533 | 7,881 | 27 |
| Asset Transaction | 432,242 | 6,084 | -43 |
| Private Equity | 505,714 | 2,541 | 42 |
| Merger | 171,404 | 685 | 380 |
A breakdown of deals by type and volume shows a 380% growth in mergers YoY, while acquisitions are up 3%, partnerships grew with 27% change YoY and asset transactions are down -43%. Financing deals have increased across some types, with venture financing up 109% YoY, equity offerings up 164% and debt offerings up 27%.
Private equity has seen 42% growth in number of deals YoY, while the number of grants recorded is up 100%. The number of contract service agreements recorded by GlobalData is up 429% YoY.
Deals activity by therapy area
The most notable development apparent in GlobalData’s analysis of pharma industry deals by therapy area is the increase of deals in the field of oncology. After remaining relatively steady over the past ten years, the number of recorded deals in oncology increased significantly in 2020.
Note: All numbers as of 16 March 2021. Deals captured by GlobalData cover M&As, strategic alliances, various types of financing and contract service agreements.
For more insight and data, visit GlobalData's Pharmaceuticals Intelligence Centre.
Latest deals in brief
Takeda exercises option to acquire Maverick Therapeutics for $525m
Takeda Pharmaceutical Company has exercised its option to acquire Maverick Therapeutics for a pre-negotiated upfront payment and potential development and regulatory milestones totalling up to $525m.
Amgen signs agreement to acquire Five Prime Therapeutics for $1.9bn
Amgen (formerly Applied Molecular Genetics) has entered a merger agreement to acquire Five Prime Therapeutics for $38 per share in cash or an equity value of approximately $1.9bn. According to the deal, Five Prime’s innovative pipeline will be merged with Amgen’s oncology portfolio.
CEPI and VBI to develop vaccines against SARS-CoV-2 variants
The Coalition for Epidemic Preparedness Innovations (CEPI) and VBI Vaccines have entered a collaboration to advance the latter’s enveloped virus-like particle vaccine candidates against SARS-CoV-2 variants. The variants include the B.1.351 (501Y.V2) strain initially identified in South Africa.
US NIH awards grant to institutes for bacteriophage therapy research
The National Institute of Allergy and Infectious Diseases unit of the National Institutes of Health (NIAD) has awarded a $2.5m grant to 12 institutes globally to support bacteriophage therapy research. The latest development represents NIAID’s first series of grants solely for research on this therapy, an emerging field that could produce new ways to fight antimicrobial-resistant bacteria.
Enveric Biosciences acquires licence for Diverse Biotech’s novel molecules
Enveric Biosciences has announced the acquisition of an exclusive and perpetual licence for Diverse Biotech’s novel molecules to treat oncology and other debilitating diseases. The latest move will enable Enveric to expand its development candidates pipeline through cannabidiol conjugation with existing, standard-of-care drugs via the Diverse Biotech advanced chemistry drug delivery platform.
Novartis signs Covid-19 vaccine manufacturing agreement with CureVac
Novartis has entered an initial agreement to manufacture the mRNA and bulk drug product for CureVac’s Covid-19 vaccine candidate, CVnCoV. The arrangements for initiating production, technology transfer and test runs are progressing.
