Biopharma healthcare and life sciences M&A remained robust during 2024 when looking at the broader sector. Novo Holdings finalized its $16.5 billion acquisition of Catalent, announced in February 2024, with the deal closing on December 18, 2024, following regulatory clearance. In April, Johnson & Johnson acquired Shockwave Medical for $13.1 billion, integrating its cardiovascular device portfolio, with completion on May 31, 2024.
Vertex Pharmaceuticals announced a $4.9 billion acquisition of Alpine Immune Sciences, targeting innovative autoimmune therapies, with the transaction expected to close in Q2 2024. Cencora strengthened its specialty care footprint by acquiring Retina Consultants of America for $4.6 billion in November, closing the deal on January 2, 2025. Gilead Sciences completed its $4.3 billion acquisition of CymaBay on March 24, 2024, adding the Phase III PPARδ agonist seladelpar to its portfolio.
In 2024, global healthcare and life sciences M&A activity increased to 452 deals with a total value of $137.9 billion with contingent and $121.2 billion without contingent. The average deal was $787 million. In comparison, 2023 had 274 deals worth $215.6 billion with contingent and $201.8 billion without contingent, averaging $1,442 million each.
Average M&A Upfront Cash & Equity
Across 2 years, there were 726 deals and a combined total of $353.5 billion in M&A with contingents, showing a transition from fewer high-value deals in 2023 to a more significant number of smaller transactions in 2024.
M&A Deals by Subsector
In 2024, M&As increased across all subsectors compared to 2023. Manufacturing, tech, and others rose from 44 to 148 deals. Therapeutics and discovery platforms increased slightly from 125 to 129 transactions, while medtech went from 50 to 74 deals and diagnostics from 55 to 101 deals.
Despite increased deal volume, transaction values plummeted from $160 billion in 2023 to $64.4 billion in 2024. In contrast, MedTech rose from $17.1 billion to $27.1 billion, diagnostics from $13.2 billion to $15.9 billion, and manufacturing tech from $25.2 billion to $30.6 billion.
Biopharma M&A Top Modalities in 2024
During 2024, small molecule deals led biopharma M&A with 42 transactions valued at $23.8 billion, including $21.4 billion in cash, averaging $855 million per deal. Biologics (36 deals) followed closely at $22.9 billion, though at a slightly lower average of $757 million.
Immunotherapy had 4 deals but led a hefty average of $2,243 million, reflecting a combined $7.4 billion total value. Meanwhile, cell therapy, gene therapy, and gene editing accounted for modest totals, each under $2 billion, yet varied in average deal sizes, from $355 million for cell therapy to only $29 million for gene therapy.
Genomics and sequencing rounded out the list, contributing no significant deals. These 93 transactions reached $56.9 billion in total M&A with contingents.
Biopharma M&A, Top Therapy Areas in 2024
In 2024, cancer accounted for the highest number of M&A deals, with 72 totaling $24.6 billion, including contingents ($21.0 billion in cash without contingents) and an average of $637 million per transaction. Cardiovascular followed with 28 deals worth $20.9 billion and $18.2 billion without contingents, having the highest per-deal average at $1,518 million.
Neurologic recorded 60 deals with a total value of $14.0 billion, including contingents, and $13.0 billion excluding contingents. Autoimmune had 11 deals totaling $11.6 billion, while ophthalmic had 14 deals totaling $9.5 billion. The average deal values were notable at $1,180 million for autoimmune and $1,070 million for ophthalmic.
TOP M&A in 2024
Novo Holdings acquiring Catalent for $16.5B – February 2024
Novo Holdings announced the $16.5 billion acquisition of Catalent to take it private, offering shareholders $63.50 per share at a 16.5% premium. Despite FTC antitrust scrutiny, Catalent, a provider of advanced pharma and biotech manufacturing solutions, approved the deal in May. The European Commission approved in December, and the acquisition was completed on December 18, 2024.
Johnson & Johnson acquiring Shockwave Medical for $13.1B – April 2024
Johnson & Johnson announced the $13.1 billion acquisition of Shockwave Medical, a maker of cardiovascular devices like Shockwave C2+, IVL, and L6. Shockwave will operate as a business unit within Johnson & Johnson MedTech. Stakeholders received $335 per share in cash at a 4.7% premium. The acquisition was completed on May 31, 2024.
Cencora acquiring Retina Consultants of America – November 2024
Cencora announced the acquisition of Retina Consultants of America (RCA) from Webster Equity Partners for $4.6 billion in cash, with up to $500 million in contingent consideration tied to performance goals in 2027 and 2028. The deal aims to strengthen Cencora’s specialty care presence and expand its management services capabilities. Cencora will own 85% of RCA post-acquisition, while affiliated practices and management retain a minority stake. The acquisition was finalized on January 2, 2025, for $4.4 billion, subject to adjustments.
Vertex Pharmaceuticals acquiring Alpine Immune Sciences – April 2024
Vertex announced the $4.9 billion acquisition of Alpine Immune, offering $65 per share at a 38.18% premium. Alpine’s key assets include Acazicolcept (ALPN-101) in Phase 2 for systemic lupus erythematosus and Povetacicept (ALPN-303) in various stages for lupus nephritis, thrombocytopenia, and other autoimmune conditions. The deal also includes Alpine’s directed evolution platform and is expected to close in Q2 2024.
Gilead acquiring CymaBay for $4.3B – February 2024
Gilead announced the $4.3 billion acquisition of CymaBay, offering $32.50 per share in cash at a 27% premium. CymaBay’s lead asset, seladelpar, is a Phase III oral PPARδ agonist for primary biliary cholangitis (PBC) with pruritus. Seladelpar has FDA Orphan Drug Designation, EMA PRIME status, and a PDUFA date of August 14, 2024. The acquisition was completed on March 24, 2024.
Also check out M&A In Global Healthcare & Life Sciences – 2023
