The value of pharmaceutical mergers and acquisitions in 2011 rose to $224 billion, the highest since 2007 according to new research from international law firm Freshfields Bruckhaus Deringer. This is an increase of 18% since 2010, although lower than the record of 2006, when it reached 303 billion globally.
35% of bestselling drug patents is set to expire in the US in the next two years, and half are already without commercial protection. That's why industries aim to grab small companies, in many cases owning promising projects or located in growing markets.
In fact, the sector continues to focus on emerging countries: the value of transactions involving Brazilian, Indian, Chinese and Russian pharmaceuticals (Bric) in 2011 exceeds the total recorded in the last five years: it reached 6.4 billion dollars, 198% more than in 2006.
Mergers and acquisitions involving the BRIC economies represent 3% of the global total in the sector, compared to 0.8% in 2006 and 0.2% in 2000. "The 'pharmerging' market - comments Julian Long, head of the Health sector of the study - is the most obvious investment choice for Big Pharma".
(BDC – January 20, 2012 – PharmaKronos)