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    Home > Medical News > Latest Medical News > The pace of mergers and acquisitions in the biopharmaceutical industry has accelerated, and domestic pharmaceutical companies have fallen in love with acquiring overseas companies

    The pace of mergers and acquisitions in the biopharmaceutical industry has accelerated, and domestic pharmaceutical companies have fallen in love with acquiring overseas companies

    • Last Update: 2022-08-30
    • Source: Internet
    • Author: User
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    [Pharmaceutical Network Industry News] Recently, news about the acquisition of domestic pharmaceutical companies has been coming: Huadong Medicine acquired 60% equity of Huaren Technology; Dorui Medicine plans to acquire 40% equity of Bozhou Tianji held by Hubei Tianji; China Resources Shuanghe Proposed acquisition of a 50.
    11% stake in Shenzhou Biotechnology.
    .
    .
    Flush iFinD data shows that since August, a total of 9 A-share pharmaceutical and biological institutions have initiated mergers and acquisitions within 10 days, involving a total amount of over 2.
    7 billion yuan
    .

    From the perspective of the entire biopharmaceutical industry, the pace of mergers and acquisitions of domestic pharmaceutical companies is accelerating in 2022
    .

    According to the statistics of Zero2IPO Research, as of August 9, 2022, there have been 175 mergers and acquisitions in the biopharmaceutical industry, with a total value of 48.
    6 billion yuan
    .

    From the perspective of the reasons for mergers and acquisitions, it mainly includes enhancing the company's profitability, supplementing the company's product line, improving the industrial layout, and borrowing ships to expand into the international market
    .

    It is worth mentioning that many domestic pharmaceutical companies fell in love with acquiring overseas companies during the year, and accelerated their internationalization through acquisitions of overseas companies, involving Qiming Medical, Pharmaron, Sihuan Pharmaceutical Subsidiaries, Asymchem, Woby Medical, Chinese biopharmaceutical and other enterprises
    .

    Among them, Qiming Medical, a comprehensive platform of innovative devices for structural heart disease, announced on January 26 that it has completed the acquisition of 100% equity of Cardiovalve Ltd.
    (Cardiovalve), an innovative transcatheter mitral valve and tricuspid valve company
    .

    Cardiovalve will officially become a member of Qiming Medical's global operation team from now on
    .

    Qiming Medical said that the successful completion of this cross-border merger will have a crucial impact on the company's further international development strategy
    .

       Sihuan Pharmaceutical announced in January that its subsidiary Yaozhong International has acquired the entire equity of Genesis Biosystems in the United States, further expanding the company's medical beauty product pipeline
    .

    On January 10, the company announced that it has obtained the exclusive agency rights for SYLFIRMXTM (gold microneedle) products from South Korea's VIOL Company in mainland China, Hong Kong and Macau
    .

    On January 21, Sihuan Pharmaceutical announced the establishment of a joint venture with Ayanite Microbial Technology to jointly develop PHA microspheres and bio-manufactured regenerative medicine materials, and jointly complete product research and development, compliance declaration and subsequent commercial promotion
    .

       Pharmaron has made frequent moves this year.
    Since 2022, in addition to the acquisition of Beijing Ankai Yibo (breeding and breeding laboratory animals), it has also successively acquired Aesica in Cramlington, UK (commercialization base for APIs) and Coventry production base in the United States (APIs).
    commercialization base), etc.
    , to enhance the company's overall strength in small molecule CDMO and drug safety evaluation
    .

       Aiming at global expansion, Asymchem also announced in February that it had agreed to acquire Snapdragon Chemistry, Inc.
    in the United States for about $57.
    94 million.
    After the merger, Snapdragon will continue to expand its laboratory and production facilities in Waltham, Massachusetts, United States.
    Increased capacity to support larger pilot scale production
    .

       In addition, in June, Sino Biopharmaceutical announced that the company, its wholly-owned subsidiary invoX Pharma Limited and invoX's wholly-owned subsidiary Fennec Acquisition Incorporated and F-star Therapeutics, Inc.
    entered into a merger agreement and plan to spend more than US$160 million to acquire F-star -starTherapeutics, to further complement the company's antibody drug pipeline
    .

       In view of the active overseas mergers and acquisitions of pharmaceutical and biological companies, the industry believes that mergers and acquisitions in the pharmaceutical and biological field have become a major trend.
    This industry focuses on research and development and heavy technology.
    In the international market, mergers and acquisitions are a choice for pharmaceutical companies to more efficiently deploy internationalization
    .

    However, it should also be noted that some companies have insufficient due diligence in the early stage, incomplete risk identification, and unclear understanding of the bottom line, which may lead to the situation of stepping on thunder after mergers and acquisitions
    .

    In this regard, when pharmaceutical companies initiate mergers and acquisitions, they should take a rational and long-term perspective to avoid the risks of blindly expanding their business scope
    .

       Disclaimer: Under no circumstances does the information or opinions expressed in this article constitute investment advice to anyone
    .

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