2023 is witnessing a surge in the M&A deals. Are all deals based on sound business strategies?

While the current geopolitical and economic conditions are not ideal, the increasing M&A deals in 2023 show a promising sign in the market. More deals were signed in January 2023 than in the entire span of the last three years. Companies like Pfizer, AstraZeneca, Ipsen, and Chiesi contributed to a total of about $47B in biopharma deal announcements in first quarter of 2023.

We anticipate a resurgence of mid to mega-level deals in the B2B market by 2023 end. This includes not only biotech deals valued between $5B to $15B, but also larger deals valued between $20B to $40B as companies seek to make bigger investments to boost their pipeline. We estimate that the total deal value will reach approx. $300B by the end of 2023.

Our recent research finds out that 65% to 85% of all M&A deals fail to deliver an increase in shareholder value.

Reach out to Jasper Colin to gain valuable insights at each stage of deal cycle for best decisions and mitigating risks.