Deal-Making Trends

In the top August alliance by deal value, Precision BioSciences licensed Imugene global rights to azercabtagene zapreleucel (azer-cel), its lead allogeneic anti-CD19 CAR T candidate for cancer. Imugene will assume ongoing clinical execution for azer-cel in the large B-cell lymphoma population who have relapsed following autologous CAR T treatment. The license also includes an option to develop up to three other cancer research programs in the future. Precision will receive $21m up front and is eligible for $8m upon successful completion of the Phase Ib dosing in the CAR T relapsed LBCL patient population. For azer-cel, Precision is eligible to receive up to $198m in additional milestone payments plus royalties. For each additional research program selected by Imugene, Precision is eligible for up to $145m in milestone payments and tiered royalties on net sales.

In Vivo's deal-making column is a survey of recent health care transactions listed by relevant industry segment – In Vitro Diagnostics, Medical Devices and Pharmaceuticals – and then categorized by type – acquisition, alliance, or financing. This month’s column covers deals announced in August 2023. Data provided by Biomedtracker.

The life sciences sector is beginning to appreciate the benefits of arbitration. Parties increasingly recognize that arbitration can be an effective, economical, confidential and business-focused mechanism to resolve the wide range of commercial disputes that arise in the sector.

Eight $1bn+ alliances were penned in July. Topping the list was a potential $2.8bn deal under which Alnylam granted Roche exclusive global rights outside the US to develop and commercialize its Phase II hypertension candidate zilebesiran. The companies will co-develop zilebesiran in the US.

In Vivo's deal-making column is a survey of recent health care transactions listed by relevant industry segment – In Vitro Diagnostics, Medical Devices and Pharmaceuticals – and then categorized by type – acquisition, alliance, or financing. This month’s column covers deals announced in July 2023. Data provided by 

During Q2, biopharma merger and acquisition deal value reached $29bn and drew in $36.8bn in potential deal value from alliances. Device company M&A values reached $988m, while in vitro diagnostics and research tools players’ M&A activity totaled $450m.

Monika Vnuk, head of Sanofi’s business development, says the best candidates are still commanding very high prices and outside inflammation and immunology, the French drugmaker is on the look-out for clinical rather than very early-stage assets.

During Q2, biopharmas brought in an aggregate $23.8bn in financing and device company fundraising totaled $2.4bn; while in vitro diagnostic firms and research tools players raised $684m.

Israeli start-up 9xchange is removing some of the friction from the asset sale and acquisition process through its digital marketplace. A partnership with BenevolentAI is also helping users identify repurposing or indication expansion opportunities. In Vivo spoke with 9xchange CEO Anat Naschitz and Benevolent AI's Matthew Fujisawa.    

Although late 2022 and early 2023 saw a few large transactions, a look at deal activity in the first half of the year shows bolt-on M&A remains in vogue for biopharma. Alliances are down from first half 2022.

In Vivo's

Three $1bn+ alliances were penned in June. Topping the list was a potential $2.5bn deal under which Bausch & Lomb acquired Novartis’ Xiidra (lifitegrast ophthalmic solution) for signs and symptoms of dry eye disease; investigational compounds SAF312 (libvatrep) for chronic ocular surface pain and OJL332 for an undisclosed ophthalmic indication; plus rights to use the AcuStream delivery device in dry eye indications.