RE:RE:EY sees bolt-ons in the single to double digit billions now August 2022 - Subin Baral, a partner at Ernst & Young LLP and EY Global Life Sciences Deals Leader, discussed current and projected short-term trends for biopharma M&A with GEN Edge. Subin Baral: We’ve seen some of the recent deals that Pfizer’s done, most recently its deal with Biohaven, and the deal GSK did to acquire Sierra Oncology. You are seeing a lot of deals coming back, with the biotechs having the opportunity to partner with the big biopharma companies, or be acquired by them. GEN Edge: Pfizer-Biohaven was an $11.6 billion deal, and GSK-Sierra, $1.9 billion. What values can we expect to see for future M&A deals?
Baral: You never say never to megadeals, such as the $20-30-plus billion deals. But a lot of these bolt-ons, in the single- to double-digit billions, are in play in our view, if you look at macroeconomic trends and the headwinds with geopolitical issues. I know there’s a lot of noise around that. But the industry fundamentals are very strong.