Life Sciences Update : Fourth Quarter 2009
Deloitte Financial Advisory Services
This quarter’s Life Sciences Update, produced by Deloitte Financial Advisory Services, summarizes the most recent transactions along with information on the most active buyers, current transaction valuation multiples and an overview of the public market’s perception of the industry.
This quarter’s highlights
European life sciences M&A deal volume and median multiples continued to decline in 2009:
- Announced deals decreased from 216 in December 2008 to 169 transactions one year later;
- Total value of disclosed deals increased from €16.3bn to €17.5bn over the same period;
- Median disclosed deal value also increased from €25m to €30m;
- Median transaction multiples on the contrary dropped from a 12.1x enterprise value to EBITDA ratio, to 10.1x;
- Volume of private equity backed transactions decreased by 23%, whereas total disclosed value of these transactions dropped from €5.8bn to €2.6bn. Average value per disclosed deal similarly declined from€176m in 2008 to €113m in 2009;
- Transactions involving a Belgian target active in the life sciences industry significantly increased from 6 transactions in 2007 and 2008, to 9 deals in 2009.
Download the Life Sciences Update below.