The latest scoop grabbing most of the headlines in global healthcare and medical devices industry space is the nearly negotiated agreement between Sanofi and Bioverativ. Reportedly, the French drug maker, Sanofi is on the verge of procuring the biotechnology market giant, Bioverativ in an all-cash deal that currently is worth almost USD 11.4 billion. The official disclosure of the deal, which is scheduled to take place shortly, would deem the value of Bioverativ at almost USD 105 per share, cite sources.For the uninitiated, Bioverative, the spin-out of the biotech behemoth, Biogen, mainly focuses on discovery, commercialization, and development of therapies related to hemophilia and other rare blood disorders. The U.S. headquartered healthcare enterprise, for the record, has made a humungous profit of almost USD 274.8 million from two of its products dedicated for hemophilia in the third quarter revenue. Reportedly, the recorded profit was almost 27% higher from what the company recorded in the year 2016, in spite of its increasing competition from other healthcare and medical devices industry players such as Roche, Spark Therapeutics, and BioMarin.
Speaking of the competitive terrain of biotechnology industry, experts claim, while the business space has witnessed a wave of acquisition activities in recent years including the likes of Pfizer’s procurement of Medivation in August 2016 for USD 14 billion and the purchase of Actelion by the healthcare giant Johnson & Johnson for USD 30 billion in January 2017, a majority of these agreements didn’t turn out to be that fruitful in terms of ROI. Given this fluctuating backdrop, the Sanofi-Bioverativ deal has already become a subject of pursuit among the biotechnology market experts.
Although none of the parties have disclosed anything regarding the agreement so far, the enterprise value offered represents a premium of almost 63% of Bioverativ’s Friday closing price, cite reliable sources.
