RE:RE:RE:RE:PwC sees continuation of US$ 5 to 15 Billion Bio M&A Deals
One of the primary take-aways from the 41st Annual JP Morgan Healthcare Conference in rainy San Francisco earlier this month was to expect to see more Big Pharma bolt-on and tuck-in acquisitions of later-stage assets to restock the pipeline as drugs roll off patent, as opposed to mega-mergers or assets that still need significant clinical development. Oncology and immunology will continue to dominate.
This aligns with what has been posted on this message board for the past 9-12 months.
Also the Inflation Reduction Act. The effects of the law on prescription drug prices are still top of mind, as companies and investors continue to work out how the rules will alter R&D and investment priorities. This could include prioritizing biologics over small-molecule drugs, given the differing drug negotiation exclusionary periods (13 years versus nine years)—which can determine up to 60 percent of value.
This again was discussed on this message board, particularly in the context of ONCY's biologic agent pelareorep being able extend the 13 years of market exclusivity it would gain through its approval, on to any product that Big Pharma may have that is will be going off-patent. This extended exclusivity would be gained by the soon-to-be 'off-patent' product being combined with pelareorep in a particular indication in a certain cancer, like metastatic breast cancer or advanced pancreactic cancer, for example.