Deals activity: North America YoY deals volume drops; grants deals on the rise
Deals activity by geography
Medical industry deals, as captured by GlobalData’s Medical Intelligence Centre, are up year-on-year (YoY) across the majority of regions.
North America is leading in terms of deal value, but recorded the lowest YoY growth in deals volume at -43%. Asia-Pacific, ranking third in terms of deal value, has seen the biggest YoY change, with deal volumes increasing by 71%.
The volume of deals recorded by GlobalData also increased YoY in Europe (25%) and Middle East and Africa (29%), but declined in South and Central America (43%)
Deals activity by type
|Deal type||Total deals value ($m)||Total deal count||YoY change (volume)|
A breakdown of deals by type and volume shows a 22,026% growth in mergers YoY, while acquisitions are down 34%, partnerships are up 33% and asset transactions are down 37%. Financing deals have increased across some types, with venture financing up 60% YoY, equity offerings up 144% and debt offerings up 3%.
Private equity has grown by 222% in number of deals YoY, while the number of grants recorded is up 329%.
Deals activity by therapy area
A notable development apparent in GlobalData’s analysis of medical industry deals by therapy area is the increase of deals in the field of healthcare IT. After remaining relatively steady, the number of recorded deals healthcare IT increased significantly in 2020. This is likely due to demand caused by the ongoing Covid-19 pandemic.
Note: All numbers as of 01 February 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 Medical Intelligence Centre
Latest deals in brief
MicroGEM acquires Jump Start to expand Covid-19 saliva test production
Molecular diagnostics company MicroGEM has acquired engineering company Jump Start Manufacturing to expand its Spitfire 6830 SARS-CoV-2 testing system production. The company expects that with its pilot-scale manufacturing facility in Charlottesville, along with its newly established large-scale production facilities in Ogden, Utah, and Hudson, New Hampshire, it can expand its manufacturing in the US.
Boston Scientific to buy cardiac monitor provider Preventice Solutions
Boston Scientific has signed a definitive agreement to acquire US-based cardiac monitors provider Preventice Solutions to expand its rhythm management diagnostics portfolio and capabilities. As part of the agreement, Preventice Solutions will receive an upfront cash payment of $925m and a potential commercial milestone payment of up to $300m.
PRA, PWNHealth and Fulgent Genetics partner for at-home Covid-19 test
Contract research organisation PRA Health Sciences has enhanced its Covid-19 Monitoring Program by collaborating with PWNHealth and Fulgent Genetics to provide at-home Covid-19 testing capabilities. The capabilities will add to PRA’s current Covid-19 clinical monitoring, symptom reporting, and management services accessible on the patient-facing Health Harmony mobile app.
Avacta and Bruker collaborate to evaluate SARS-CoV-2 assay
Avacta Group has entered into a collaboration agreement with analytical instrumentation company Bruker to analyse the Affimer-based, bead-assisted mass spectrometry SARS-CoV-2 assay. The assay has been developed by Avancta in partnership with Adeptrix.
Thermo Fisher to acquire Covid-19 test developer Mesa Biotech
Thermo Fisher Scientific has signed an agreement to acquire US-based Mesa Biotech, a molecular diagnostics company that developed rapid Covid-19 test kits, for $450m. Mesa Biotech developed a PCR-based rapid point-of-care testing platform to detect infectious diseases, including SARS-CoV-2, Influenza A and B, respiratory syncytial virus, and Strep A. Once the deal closes, Thermo Fisher has agreed to pay an additional $100m after Mesa Biotech achieves certain milestones.
NIH to enter Phase II of Covid-19 biomarker development contract
The National Institutes of Health unit National Cancer Institute (NCI) and the National Institute of Biomedical Imaging and Bioengineering (NIBIB) are set to enter Phase II of a multi-phase contract to advance physIQ’s artificial intelligence-based digital biomarker development for Covid-19. NCI and NIBIB exercised their option to enter the phase, which brings the total contract to $6.6m.