Abstract
Ensure merger and acquisition success - at any point in the M&A process
Pharmaceutical Mergers and Acquisitions guides you to build an M&A plan
that focuses on key goals, avoids costly mistakes, and realizes deal potential
as quickly as possible. CEI designed this study to identify the primary
drivers of M&A activity. Through the input of pharma industry leaders, our
study provides solutions to the greatest M&A pitfalls and gives clear,
detailed insight of trends in pharmaceutical deals. The result: a roadmap to
the M&A landscape.
The past year has been marked by heightened M&A activity among companies of
all sizes. Small companies are increasingly investing in large-molecule
products that are expensive to produce and test in clinical trials - but in
this tough economic climate, they face diminishing capital and the threat of
closing. To continue their work on time-sensitive compounds, they are
exploring the possibility of a company sale. On the other hand, for those
companies with cash, this situation presents an opportunity to acquire
attractive compounds and technology platforms at a discount.
Timelines, rankings, strategies, and deal profiles will allow you to maximize
the benefits and growth opportunities of a deal:
Understand the M&A environment
Learn what is driving the acquisition strategies of top companies - and how
other organizations are seeking suitors for their own sales.
Build a competitive deal-making process
- Target the right deals with an M&A task force
- Implement a timeline that works for both sides
- Track different types of financing across deals brokered by companies of
different sizes
Complete the integration as soon as possible -- and boost productivity
- Build an integration timeline
- Clarify roles and responsibilities in the new organization
- Reduce the impact of attrition
Learn from the recent past
We' ve vetted the top 75 deals of 2009 to determine purchasing trends,
including:
- Price/pipeline ratios
- Financing options
- Deal motivators
Look into the future of M&A
Gather perspectives and predictions on future deals from the managers who
execute them.
Compare your deal to others
- Use the deal profiles to compare metrics for 19 different deals
- Explore deal size, functional involvement in deal-making, timelines,
challenges and employee retention
Report Statistics
- 175 Pages
- 400+ Metrics
- 45+ Companies
Companies featured in this report
- Advanced Refractive Technologies
- Anavex
- ApotheCom
- AstraZeneca
- Bristol-Myers Squibb
- Centocor
- Ethypharm
- Galderma
- IBA
- Lyotropic Therapeutics
- Metabolex
- Novagali Pharma
- Novartis
- Novex Pharmaceuticals
- NPS Pharmaceuticals
- OCO Biomedical
- Orion Corporation
- Otsuka Pharmaceutical Co.
- Penwest
- Schering-Plough
- Strategent Life Sciences
- Talima Therapeutics
- UCB
- Vivabiocell
Table of Contents
Chapter 1: Deal Background
- General reasons for pursuing all deals (buyers and sellers)
- Reasons for pursuing deals (buyers)
- Reasons for pursuing deals (sellers)
- Increase/decrease in M&A activity in the past 12 months (among buyers and
sellers)
- What was the total price of the deal?
- How long did the deal take?
- How were you involved in the deal?
- Which company initiated acquisition discussions?
Chapter 2: Deal Foundations and Integration Processes
- Group first processing M&A opportunities - broken down for both the
purchasing and acquired companies
- Percentage of mergers using formal integration processes
- Percentage of mergers using integration teams
- Composition of integration team
- Percentage of companies which had completed their integration processes by
month
Chapter 3: Resolving Integration Challenges
Metrics address post-merger challenges in the following areas:
- Corporate culture
- Human resources
- Attrition
- Rate of post-merger attrition, by company
Chapter 4: Pharmaceutical Mergers and Acquisitions - 2008 to 2009
- Ratio of purchase price to annual revenue, by deal type
- Percentage of companies with a drug through at least each phase, $100
million to $1 billion
- Time between agreement signing and deal closing, in days
- Type of financing used, by deal type
- Type of financing used by large (mid-size, small) companies
Chapter 5: The Future of M&A
- Size and type of company acting as purchaser
- Size and type of company acting as seller
- Number of deals pursued for each merger type
- Average purchase price by merger type
- Percentage of companies with a drug through at least each phase, $100
million to $1 billion values within dollar ranges
Chapter 6: Deal Profiles
Profiles of 19 deals; 11 profiles are from the buyer' s perspective and eight
are from the seller' s perspective. Profiles include the following elements:
Background Information
- Deal background
- M&A task force activities
- Purpose for pursuing deal
Integration Process
- Integration timeline
- Structure of integration team
- External advisors
Employee Retention and Merger Challenges
- Employees retained from acquiring company
- Problems encountered during merger process
