Industry Snapshot: How Companies Are Using M&As to Strategic Advantage - Biologics Market Research

Industry Snapshot: How Companies Are Using M&As to Strategic Advantage
Published Date: October 2006
Published By: Decision Resources
Page Count: 30
Order Code: R55-306
Price: $1,900 PDF E-Mail From Publisher

Merger and acquisition (M&A) activity in 2005 and the fi rst half of 2006 broke the life science industry's tradition of relying on the pharmaceutical and biotechnology sectors for big deals. During this period, the medical device and diagnostic sectors scored big with a handful of multibillion-dollar deals. In addition, the manufacturers of generic pharmaceuticals experienced a wave of consolidation, as did life science companies in Europe and Japan.
Get the Answers You Need to Shape Your Strategy
Big pharma companies are increasingly focusing on their core prescription drug businesses and selling off other health care lines. During the period under study, which major pharmaceutical companies were most active in divesting of OTC and other businesses to concentrate on their prescription pharmaceutical business?
Until recently, the German pharmaceutical industry largely avoided the consolidation activity that took place throughout the rest of Europe and United States over the past 20 years. However, on June 21, 2006, Bayer completed its acquisition of Schering for $21.5 billion. What are the reasons behind this changing trend and what do they signify for the future of the German, indeed European, pharmaceutical industry?
In January 2006, the largest life sciences merger of the past two years was completed when Boston Scientifi c agreed to pay $27.2 billion for Guidant. Why are investors second-guessing Boston Scientifi c's acquisition?
Thermo Electron's anticipated acquisition of Fisher Scientifi c for $10.6 billion will form the largest single-source supplier of diagnostic equipment and services worldwide and is expected to precipitate further consolidation among other major players in the diagnostic market. How will this merger benefit both companies?