January-February . 2024 | The HEALTH

According to Reuters , the deals had a combined equity value of more than US $ 6 billion , including one by medical device maker Boston Scientific for Axonics Inc . That follows roughly US $ 25 billion worth of US-listed biotech deals in December , according to data provider LSEG Deals Intelligence .

Meanwhile , over 8,000 people were gathered at the JPMorgan healthcare conference in San Franscisco in January , in another sign of a return to business as usual after the Covid-19 pandemic .

Global pharma companies ’ efforts to replace revenue from older drugs with promising new ones were largely stymied in 2023 , but looming patent expirations and easing financing costs are setting up 2024 well , industry sources say .

J & J said it would buy Ambrx Biopharma for US $ 2 billion to gain promising targeted cancer therapies known as antibody drug conjugates ( ADC ). The deal gets “ the ball rolling on what seems to be a strong start for M & A in 2024 ”, said Citi analyst Joanne Wuensch .

Interest in these drugs has spiked and

PRIVATELY-OWNED clinical research facility , K2 Medical Research , recently banded with Magruder Eye Institute and RetiSpec in a research pilot to enhance access to clinical trials .

The collaboration between the three parties aims to study how leveraging RetiSpec ’ s cutting-edge AI technology as a trial pre-screening tool at Magruder Eye Institute can ultimately reduce the time required to identify and recruit eligible candidates for clinical trials . K2 Medical Research , renowned for its expertise in managing and conducting clinical trials , offers valuable insights and support to the research collaboration .

RetiSpec , leading innovator in advanced artificial intelligence ( AI ) technology , is developing a tool for early detection of neurological diseases through a simple eye exam . The partnership with Magruder Eye Institute , a distinguished eye care institution known for its commitment to patient care and cutting-edge research , symbolises a key role toward expanding the reach of clinical trials within eye care settings .

“ This collaboration marks a significant milestone in our commitment to advancing medical research and improving the accessibility of clinical trials ,” said K2 Medical Research Founder , Sean Stanton .

“ We are excited to work alongside

several related companies have been acquired in recent months , including ImmunoGen by AbbVie and Seagen by Pfizer .

Separately , Merck said it would buy cancer drug developer Harpoon Therapeutics for about US $ 680 million , gaining access to earlystage immunotherapies being tested for lung cancer and multiple myeloma .

Boston Scientific ’ s US $ 3.7 billion deal for deal for Axonics helps it enter the market for a type of minimally invasive procedure used in the treatment of overactive bladder and fecal incontinence .

Centerview Partners advised both Harpoon and Ambrx on the deals . Ambrx ’ s financial advisers also included Cantor Fitzgerald . Evercore Group was Merck ’ s financial adviser , while J . P Morgan Securities LLC was the adviser to Axonics .

Magruder Eye Institute and RetiSpec , combining our expertise to address the challenges in identifying and recruiting eligible candidates for clinical trials efficiently .”

“ Magruder Eye Institute has always been at the forefront of innovation in eye care . The eye provides a unique window to the brain , and RetiSpec ’ s technology may offer us unprecedented insights into understanding what ’ s happening in the brain years before symptoms begin . This collaboration holds the potential to redefine how we approach Alzheimer ’ s research and pave the way for early detection and intervention strategies ,” added Magruder Eye Institute President and Medical Director Dr John Lehr .

Although clinical trials are key in advancing medical research and developing innovative treatments , one of the significant challenges in this process is the time-consuming and often labour-intensive task of identifying suitable participants .

RetiSpec ’ s AI technology could open the door of innovative solutions by streamlining the pre-screening process , allowing for quicker and more efficient identification of potential candidates .

Stanton explained : “ This collaboration will evaluate how integration of RetiSpec ’ s AI technology into a prescreening process at Magruder Eye Institute can enhance trial efficiency and accessibility , making clinical trials more available to a broader range of individuals and fostering inclusivity in medical research .

“ Ultimately , through the synergy of K2 Medical Research ’ s clinical trial expertise , Magruder Eye Institute ’ s commitment to pioneering eye care , and RetiSpec ’ s AI capabilities , the research collaboration aims to contribute to advancements in clinical trial innovation and the development of new pathways to accelerate therapeutic breakthroughs .”

DESPITE challenging interest rates and regulatory environment , pharma merger & acquisition ( M & A ) activity surged in 2023 with deal volume up more than 30 per cent from the prior year based on a review of more than 200 acquisitions since 2018 . The total disclosed deal value in 2023 also more than doubled the prior year ’ s tally to surpass US $ 100 billion .

According to Drug Discovery & Development portal , while the pandemic boosted research into areas such as mRNA , it had something of a chilling effect on M & A . As pharma companies begin to put the pandemic in the rearview mirror , M & A activity has gained momentum .

According to PwC , the M & A activity in the pharmaceutical and life sciences sector could continue humming in 2024 . Despite a challenging interest rate environment , PwC projects the sector to see deal values ranging from US $ 225 billion to US $ 275 billion . Deal volume in 2023 was in line with pre-pandemic levels .

Leerink also expects biopharma M & A to stay elevated in 2024 as companies continue eyeing mergers , reverse mergers , and cash-out deals . The firm concluded that oncology was the top therapeutic area by deal value in 2023 with US $ 49 billion across 11 deals .

Rare disease and immunology rounded out the number two and three slots , respectively , by value . Leerink also noted that while overall healthcare M & A deal value dropped 10 per cent and volume declined 34 per cent between 2022 and 2023 , biopharma remained the most active subsector , representing 58 per cent of total deal value in 2023 .

In 2023 , Big Pharmas emerged as especially hungry buyers , a reversal of the prior trend of strong buying activity from aggressive midsized firms . In 2023 , companies such as Bristol Myers Squibb , AstraZeneca and AbbVie inked multiple billion-dollar plus deals spanning hot areas like oncology and gene therapy .

The biggest deals by size included Pfizer ’ s US $ 43 billion acquisition of Seagen , Amgen ’ s pending US $ 27.8 billion acquisition of Horizon Therapeutics , Bristol Myers Squibb ’ s US $ 14 billion acquisition of Karuna Therapeutics and AbbVie ’ s US $ 10.1 billion buyout of Immunogen .

Overall , 2023 saw the emergence of a wider mix of buyers , which included players such as Biogen and Moderna , while private equity and royalty-based buyers like Gurnet Point Capital boosted participation . When focusing on acquirers , a relatively sporadic dataset emerges , but clinical-stage biotechs such as Purple Biotech have emerged as more frequent players . In terms of deal size , however , such players tend to target relatively small acquisitions . Examples include Leap Therapeutics purchasing Flame Biosciences for US $ 86 million in January 2023 , Purple Biotech acquiring Immunorizon for US $ 100 million in February , and Pyxis Oncology scooping up Apexigen for US $ 16 million in May 2023 .