Pharmaceutical mergers and acquisitions: opportunities and drivers for CDMOs

Over the past decade the pharmaceutical industry has seen a surge in merger and acquisition (M&A) transactions. Among the several factors influencing consolidation, a primary driver of pharmaceutical M&A activity is the ability to minimise supply chain complexities. 

Consolidation will continue as a major activity this year, as CDMOs look to optimise and enhance their service offering in a competitive CDMO marketplace.

Many pharmaceutical firms look for a CDMO with an end-to-end offering. Acquiring a smaller company with specialist capabilities equips CDMOs with access to new assets and capabilities that can be used for customer projects, from early stage development to commercial manufacture.

Mark Quick, Vice President of Corporate Development at Recipharm discusses the rise in pharmaceutical M&A transactions amongst CDMOs, exploring the key drivers behind them and the opportunities consolidation offers to the wider pharmaceutical industry.

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