OK…it was just a few weeks ago when I highlighted Celgene’s (NASDAQ: CELG) concentrated activity in Colorado bio, take a look (here). The Colorado bioscape has proved to be an incredibly active market for big pharma in the last year, accounting for nearly a whopping $7 billion in transactions! Just to quickly review these deals included:
- Merck (NYSE: MRK) and Sirna, approximately $1.1B
- Endo (NASDQ: ENDP) and RxKintix, approximately $120MM
- Gilead (NASDAQ: GILD) and Myogen, approximately $2.5B
The acquisition is an impressive multiple, paying over 10X Pharmion’s last 12months revenue of $256MM. Such a multiple however, is not that surprising considering Pharmion has cash flow, an impressive four commercialized products, and a rich developmental pipeline, combine this with pharma’s need to enhance pipelines and the deal is easily comprehended.
Congratulations to President and CEO Pat Mahaffy and the rest of the talented team at Pharmion. They have done something uniquely special and rare, from business model design, execution and through exit. Our community looks forward to what the bio-entrepreneurs have planned next and invite them to take a look at the exciting activity transpiring at Fitzsimons BioBusiness Partners.
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