Looking ahead, Ernst & Young expects the biopharmaceutical industry to continue the emphasis on partnerships and bolt-on acquisitions over company acquisitions seen in 2021, only perhaps at greater volume. The rationale for partnerships and bolt-ons simply is better than for large-scale M&A as biopharmas look to bolster their pipelines and portfolios against expected mid-decade patent cliff issues that are expected to drive down compound annual growth rates, the firm’s 2022 EY M&A Firepower Report asserts.
EY: Don’t Expect Mega-Mergers To Return, But ‘Never Say Never’
EY Predicts Continued Emphasis On Bolt-On Deals, Partnerships In 2022
Firm’s annual biopharma firepower report notes there were no mega-mergers in 2021 and the conditions continue to make smaller deals and partnerships a better risk proposition.

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