Top Healthcare acquisitions of 2018
Below is the list of major healthcare acquisitions of 2018.
1. Fortive Corporation to gain a new business segments
In June 2018, Fortive Corporation, a Startup company featured in the Fortune 500 in 2016 acquired Advanced Sterilization Products (ASP) division of Johnson and Johnson’s Ethicon, Inc., for a cumulative price of nearly $2.8 billion. In 2017, the SAP segment generated a revenue of $775 million. This acquisition has well positioned the Fortive Corporation in the infection prevention market.
2. Online Pharmacy, PillPack under the Amazons sight (July 2018)
Amazon, the one stop online store has decided to acquire the PillPack and the tracsaction is expected to close by 2019. This acquisition was announced by Amazon two months after it lost Flipkart to Walmart in May 2018.
After the Amazon’s previous acquisition of Whole food in August 2017, their sales of grocery and the pantry has increased by 48%. Thought the Walmart was insulated the onslaught of Amazon, the acquisition of PillPack posed a major threat to the company.
3. Cortiviti Holdings acquired by Verscend Technology
Verscend, a leading healthcare analytics solution company is all set to acquire Cortiviti Holdings, a US healthcare payer and retailer company for an all cash transaction of $4.9 billion in June 2018. The mutual business will function as a private healthcare data expertise corporation with exclusive, data-driven competences. Collectively, they are likely to have larger effect in the healthcare IT market.
4. Roche to acquire Foundation Medicine
Foundation Medicine (FMI), a company dedicated in the transformation of the cancer care is being acquired by the F. Hoffmann La Roche. In June 2018, Roche announced that it is all set to acquire the outstanding share of FMI for a total value of $2.4 billion. This acquisition helps Roche to provide personalized medicines for the cancer patients by analyzing their genomic changes.
5. KKR to acquire Envision Healthcare
KKR, a private equity firm to announce its acquisition of Envision Healthcare in July 2018. Envision offers physician-led services post-acute care, and ambulatory surgery services. The company offered its services to nearly 1,800 clinical research in 45 states and Columbia. The deal is priced as high as $9.9 billion, with an all cash transaction.
6. Platinum Equity to acquire the LifeScan Segment of J&J (June 2018)
Johnson and Johnson is all set to sell its diabetes segment LifeScan to a private equity firm, Platinum Equity for a value of $2.1 billion. LifeScan is a leader in blood glucose monitoring market in US with its leading brand OneTouch and has generated a revenue of $1.6 billion in 2017. This acquisition will drastically affect the diabetes market.
7. Teledoc is set for its global expansion by acquiring Advanced Medical
Teledoc, a US healthcare company has planned to expand its global presence by the acquisition of Advanced Medical in June 2018. Advanced Medical has around 800 healthcare professionals and 450 medical doctors who collaborate with experts globally to improve patient’s health. They also have partnership with over 330 companies globally. The value of the deal is $352 million.
8. Sanofi to acquire Bioverative for $11.6 billion in January 2018
Sanofi, a French Pharmaceutical company bids to a value of $11.6 billion to acquire the biotech giant Bioverative. According to its 2020 roadmap, Sanofi is strengthening its existence in specialty medicine and its leadership position in orphan diseases. Biovertive is expected to promise the growth in other orphan hematological conditions.
9. Acquisition Juno Therapeutics by Celgene Corporation
Juno Therapeutics is involved in the development of CAR-T therapy for cancer and other multiple targets. Celgene has acquired Juno for $9 billion in January 2018. This deal is expected to strengthen the leadership globally in the hematology segment. Juno is expected to receive US approval for its JCAR017 in 2019 and is likely to reach a global peak sale of almost $3 billion.
10. Acquisition agreement between Partners Healthcare and Care New England
In May 2018, a definitive agreement was signed by Partner Healthcare to acquire Care New England (CNE) in US. The acquisition was signed to strengthen its financial outlook and receive help from Partner’s during the regulatory approval process.
11. Anthem, Inc set to acquire palliative care provider Aspire Health
In May 2018, Anthem plans to acquire Aspire Health to enhance the its ability to deliver innovative clinical care models which helps to improve the quality of healthcare and deliver better results. The acquisition is expected to end by the third quarter of 2018.
12. Acquisition of Abaxis by Zoetis Inc.
In May 2018, Veterinary point of care company Abaxis is being acquired by Zoetis Inc and the deal is expected to complete by the end of 2018. This deal is predicted to enhance Zoetis’ presence in veterinary diagnostics. Abaxis generated a revenue of $244.7 million in 2017, with a 8% increase over previous year.
13. Cortiviti Holdings acquired by Verscend Technology
Eli entered into agreement in May 2018 to acquire AurKa Pharma, Inc. Aurka developed oncology compound AK-01 that was in the beginning discovered at Lilly. The deal value is worth nearly $575 million and is expected to support Lilly’s external innovation strategy.
14. $3.3 billion bid to acquire Healthscope
Canadian investment company Brookfield Asset Management bid up to $3.3 billion to acquire Healthscope in May 2018, an Australian healthcare. This deal is one of the largest healthcare turnovers till date by a Canadian Company.
– Rikitha K Murthy
Market Research Analyst