Insight

Biopharmaceuticals deal trends: What to expect in 2021

Competition for innovation will continue to drive deal making

Jeff Stoll

Jeff Stoll

Principal, National Strategy Life Sciences Leader, KPMG US

+1 617-988-1000

Kristin C. Pothier

Kristin C. Pothier

Global and National Strategy and Deal Advisory Leader, Healthcare and Life Sciences, KPMG LLP

+1 617 549 2779

Steve Sapletal

Steve Sapletal

Principal, Advisory, Strategy, KPMG US

+1 612-708-2556

Alasdair Milton, PhD

Alasdair Milton, PhD

Managing Director, Healthcare and Life Sciences Strategy, KPMG US

+1 617-988-5419

When the COVID-19 outbreak slammed the economy, it seemed like deal making in the biopharmaceutical industry would also slow down. However, the volume of deals hit an all-time high in 2020, with transactions using creative deal structures such as asset licensing to strategic R&D collaborations powering the growth.

A new KPMG report, Biopharmaceuticals deal trends: Competition for innovation overcomes economic headwinds, explains that the industry’s perpetual need to find innovative assets to generate future revenue will continue playing out in 2021 in the deal market. But picking the best opportunities among unproven targets amid rising valuations will be a challenge.