DealForma’s Q1 2025 review of healthcare and life sciences saw strong momentum across R&D partnerships, M&A, venture funding, and IPOs. In R&D partnerships, Zealand Pharma and Roche signed a $1.7 billion deal in March to co-develop petrelintide for obesity; AstraZeneca partnered with Harbour BioMed in March on cancer/immunology antibodies, committing $175 million upfront and $4.4 billion in milestones; and Vertex licensed Orna’s (ReNAgade) gene editing tech for SCD and TDT in January with $65 million upfront and up to $1 billion in milestones. M&A included J&J’s $14.6 billion acquisition of Intra-Cellular in April for CNS drugs, Mallinckrodt’s $6.7 billion acquisition of Endo in March, and Stryker’s $4.9 billion purchase of Inari Medical in February for VTE devices.
On the venture side, BVI Medical raised $1 billion (March 2025) from TPG for eye surgery growth; Isomorphic Labs raised $600 million (March 2025) to advance AI drug discovery with AlphaFold 3; and Verdiva Bio launched with $410 million (January 2025) to develop GLP-1 and amylin therapies for obesity. IPOs included Metsera’s $316 million raise (February 2025) for obesity peptides, Beta Bionics’ $235 million (January 2025) for diabetes insulin tech, and Kestra Medical’s $232 million (February 2025) for cardiovascular wearables.
Global Healthcare and Life Sciences R&D Partnerships
In Q1 2025, healthcare and life sciences R&D partnerships saw 169 deals worth $60.4 billion, with $5.5 billion in upfront payments. A decline from Q4 2024, which recorded 204 deals totaling $73.2 billion, including $7.6 billion upfront. Combined, the 2 quarters accounted for 373 deals valued at $133.7 billion, with $13.1 billion in upfront payments.
Top R&D Partnerships in Q1 2025
Zealand Pharma co-development and commercialization deal with Roche – March 2025
Zealand granted Roche global rights to co-develop and commercialize petrelintide, an amylin analog for obesity, alone or in combination with Roche’s GLP-1/GIP agonist CT-388. Zealand receives $1.7 billion upfront ($1.4 billion at closing), plus up to $3.6 billion in milestones and royalties. Profits in the US/EU will be split 50/50; Roche will lead elsewhere. Zealand also pays $350 million to Roche for combo therapy development.
AstraZeneca research partnership with Harbour BioMed – March 2025
AstraZeneca partnered with Harbour BioMed to co-develop antibody therapies using Harbour’s fully human antibody platform for cancer and autoimmune diseases. Harbour will receive up to $175 million in upfront, milestones, and option fees, plus $105 million in equity. The deal includes a potential $4.4 billion in milestones and tiered royalties. AstraZeneca gains a 9.15% stake and a co-located Beijing R&D hub.
Orna development and commercialization deal with Vertex – January 2025
Orna, through its subsidiary ReNAgade, granted Vertex exclusive rights to develop and commercialize gene editing therapies for sickle cell disease (SCD) and transfusion-dependent beta-thalassemia (TDT) using Orna’s lipid nanoparticle (LNP) delivery technology to enhance hematopoietic stem cell (HSC) targeting. The three-year agreement allows Vertex to extend the partnership and add up to 10 additional targets. Orna will receive $65 million upfront, including a convertible note investment, and is eligible for up to $635 million in preclinical, development, and commercial milestones for SCD/TDT products. If Vertex exercises its option, Orna could earn up to $365 million per product across 10 additional targets, plus tiered royalties.
Global Healthcare and Life Sciences M&A
In Q1 2025, the healthcare and life sciences M&A market saw 132 deals, with $52 billion in contingent payments and $39.7 billion in upfront cash. Significant growth from Q4 2024, which recorded 144 deals worth $26.8 billion in contingents and $22 billion in non-contingent cash. Combined, the 2 quarters accounted for 276 deals, totaling $78.8 billion in contingent value and $61.7 billion in cash.
Top M&A in Q1 2025
Johnson & Johnson acquiring Intra-Cellular Therapies – January 2025
J&J acquired Intra-Cellular Therapies for $132/share (40% premium), totaling $14.6 billion. Completed April 2, 2025, Intra-Cellular continues as a standalone unit. Its lead drug Caplyta treats schizophrenia, bipolar disorder, and depression, with a pipeline covering Parkinson’s, anxiety, pain, and cancer—strengthening J&J’s CNS and small molecule portfolio.
Mallinckrodt acquiring Endo – March 2025
In March 2025, Mallinckrodt announced a $6.7 billion stock-and-cash acquisition of Endo. Endo shareholders receive $80 million cash and 49.9% of the merged company. The deal expands Mallinckrodt’s branded and hospital drug portfolio, with plans to spin off Endo’s generics and sterile injectables. Endo’s pipeline spans cardiovascular, neurology, cancer, and pain.
Stryker acquiring Inari – January 2025
Stryker announced the acquisition of Inari Medical, a medical device company specializing in treatments for chronic venous diseases, including venous thromboembolism (VTE). Inari’s key products include ClotTriever for deep vein thrombosis (DVT), FlowTriever for pulmonary embolism (PE), InThrill for small vessel thrombosis, and LimFlow for chronic limb-threatening ischemia. The acquisition enhances Stryker’s peripheral vascular offerings and complements its Neurovascular portfolio. Inari shareholders received $80 per share valuing the deal at approximately $4.9 billion.
Global Healthcare and Life Sciences Venture Activity
In Q1 2025, the global healthcare and life sciences venture sector secured $13.9 billion across 306 funding rounds, up from 272 rounds raising $10.9 billion in Q4 2024. Together, these 2 quarters saw 578 rounds with a total of $24.8 billion raised.
Top Ventures in Q1 2025
BVI Medical – Series Unspecified -$1B – March 2025
BVI Medical, a leading provider of eye surgery solutions, raised $1 billion in partnership with private equity firm TPG. The funding will refinance existing debt and support global expansion of BVI’s intraocular lens (IOL) business, along with upcoming product launches. The investment includes new equity capital from TPG and other investors, positioning the company for accelerated growth in the ophthalmic solutions market.
Isomorphic Labs – Series A – $600M – March 2025
Isomorphic Labs, a spinoff of Google DeepMind, raised $600 million in its first external funding round to advance AI-driven drug discovery. The round was led by Thrive Capital, with participation from GV (Google Ventures) and follow-on investment from Alphabet. Based in London, Isomorphic develops AI models to design potential drugs, including the recently unveiled AlphaFold 3, developed in partnership with Google DeepMind, which can predict molecular structures and interactions. The funding will accelerate its AI drug design engine and support internal programs moving toward clinical development.
Verdiva Bio – Series A – $410M – January 2025
Verdiva Bio launched as a clinical-stage biopharma company focused on obesity and cardiometabolic disorders, backed by an oversubscribed $410 million series A round co-led by Forbion and General Atlantic, with participation from RA Capital, OrbiMed, Logos Capital, Lilly Asia Ventures, and LYFE Capital. The funding will advance its pipeline of next-gen oral and injectable therapies, including ecnoglutide (a Phase II-ready oral GLP-1RA), a potential first-in-class oral amylin agonist, and a long-acting subcutaneous amylin agonist, leveraging proprietary oral delivery tech for improved accessibility and scalability.
Global Healthcare and Life Sciences IPO ActivityÂ
In Q1 2025, the global healthcare and life sciences sector saw 14 IPOs raising $2.1 billion, up from $1.2 billion across the same number of IPOs in Q4 2024. Combined, the 2 quarters accounted for 28 IPOs and $3.2 billion raised.
Top IPOs Q1 2025
Metsera – IPO – $316M – January 2025
Metsera, Inc. (Nasdaq: MTSR), a clinical-stage biotech focused on treating obesity and related conditions with next-generation injectable and oral NuSH analog peptides, closed its IPO at $18 per share, issuing 15.28 million shares and an additional 2.29 million shares through full underwriter option exercise. The gross proceeds totaled $316 million before expenses. Metsera’s stock is now listed on the Nasdaq Global Select Market under the ticker MTSR. BofA Securities, Goldman Sachs & Co. LLC, Evercore ISI, Guggenheim Securities, and Cantor acted as joint bookrunners for the offering.
Beta Bionics – IPO – $235M – January 2025
Beta Bionics, Inc. (Nasdaq: BBNX), a commercial-stage medical device company dedicated to enhancing diabetes care through adaptive closed-loop insulin delivery systems, raised $229 million in gross proceeds via an upsized IPO and concurrent private placement. The company sold 13.8 million shares at $17 each, which includes the underwriters’ full option, generating $212 million, along with an additional 1 million shares through a private placement. Trading commenced on January 30, 2025, on the Nasdaq Global Market under the ticker BBNX.
Kestra Medical Technologies – IPO – $232M – February 2025
Kestra Medical Technologies, Ltd., a commercial-stage company specializing in connected wearable devices for cardiovascular care, raised approximately $232 million in gross proceeds through its initial public offering. The company sold a total of 13,664,704 shares at $17 per share, including the full exercise of the underwriters’ over-allotment option for 1,782,352 shares. The IPO was led by BofA Securities, Goldman Sachs, and Piper Sandler, with additional support from Wells Fargo, Stifel, and Wolfe | Nomura Alliance.
Also check out Global Healthcare and Life Sciences Annual Review – 2024
