The life sciences is an evolving sector, powering important breakthroughs that improve countless lives. Today, we look back on three acquisitions from last year in the industry, and discuss how they may impact this growing sector.
We have previously reflected on the acquisition of: BioVision by Abcam, BioLegend by Perkin Elmer, and the buyout of Mavarai Life Science by Vector laboratories in our wrap up blog on acquisitions of the year in 2021. This blog provides an update on more recent acquisitions we have seen since then.
Several articles reported that the first half of last year saw a dip in the number and value of deals compared to 2021 [1,2]. This being said, we still found a great number of exciting and significant acquisitions had occurred over the course of the year. Today, we highlight three, and look into how our market data on multiple reagent types (such as antibody market data, biochemicals market data and protein market data) can offer further insight into the companies involved.
It is worth noting that the acquisitions discussed in this blog are the tip of the iceberg, and many more deals are not mentioned in the blog but will likely be instrumental in setting up future impact in the sector. Do let us know what data you would like to see from us this year!
1. Thermo Fisher Scientific (NYSE: TMO) and PeproTech
To grow and complement Thermo Fisher’s cell and gene therapy offerings
Themo Fisher’s acquisition of PeproTech for $1.85 billion will lead to the integration of PeproTech into their bioscience business.
PeproTech have positioned themselves as a leader in recombinant protein products with over three decades of experience; their expertise includes products such as cytokines and growth factors.
Products supplied by PeproTech can be used in cell or gene therapies, or for more general cell culture applications, which complements Thermo Fisher’s considerable cell culture media product portfolio. Overall, this acquisition aims to provide a more comprehensive product offering for researchers to help accelerate their work.
We collect citations across multiple reagent markets, so are able to gain a broad view of supplier performance.
By doing so, we found that Thermo Fisher have been growing in several markets. From our top 100 product blog series, we found they featured in antibody, biochemicals, proteins and cell line datasets with highly cited products.
Similarly, CiteAb citation data shows that PeproTech has been seeing growth and strong market performance in recent years. As of 2021, we found that PeproTech was in fourth position by % share of citations in the research protein market. Our protein market data over the years also shows a gradual increase in citation share for the supplier. ThermoFisher, in comparison, were in sixth position by citation share in the protein market.
In our analysis on the most cited protein products of 2021, PeproTech claimed two of the top ten positions. We also found they placed as the second most cited supplier in the cancer research protein market, with the top cited product. This suggests they are in a prime position to strengthen Thermo Fisher’s portfolio with their highly cited products, and help many more within the life sciences.
PeproTech’s protein products, many of which can be used in cell culture, may add to ThermoFisher’s strengths in the biochemicals market. As our biochemicals dataset has expanded to cover more cell culture products, we saw Thermo Fisher claim a significant proportion of the top 100 biochemical products. Our data from 2021 showed they were the second most cited supplier in the biochemicals market, behind Millipore Sigma.
ThermoFisher’s rationale for this acquisition follows our data and we may expect to see further success following this acquisition.
2. Bio-Techne (NASDAQ: TECH) and Namocell
The addition of Namocell’s single cell sorting instruments to bolster Bio-Techne’s cell and gene therapy portfolio
This acquisition, completed on July 5th 2022, aims to help more researchers in their work, particularly in cell and gene therapy applications.
Namocell’s single cell sorting instruments can be used in a variety of important applications ranging from cell engineering, to cell line development, single cell genomics, antibody discovery and more. Importantly, the company’s products provide an alternative to traditional FACs, with benefits such as being more gentle to cells, helping to maintain their integrity and viability.
Through this acquisition, Namocell’s instruments and consumables will help to grow and complement Bio-Techne’s cell and gene therapy franchise, with the aim of reaching even more of this market.
Looking back at our citation data we shared in our blogs over the year, we found Bio-Techne brands as top suppliers in multiple markets. This acquisition’s focus on another important research area may help them further their impact by reaching even more researchers.
We found R&D systems claimed third position as a leading protein supplier in the cancer research field, a key research area, with a 16% citation share. We also saw success for Tocris as the fourth most cited supplier in the bioactive small molecules market. Overall in the antibody market, we found that Bio-Techne were positioned as eighth by % citation share, an indicator of their market share, when we last reported on this data.
On top of this, ProteinSimple were recently recognised in the CiteAb Awards as highly commended in the Innovation category for their Abby technology, showing growth in the instruments field and not just the reagent space, aligning with this acquisition of Namocell’s innovative instruments.
This collection of findings suggests that Bio-Techne are in a strong position to add the expertise of Namocell to their company.
3. BD Biosciences (NYSE:BDX) and Cytognos
Growing of flow cytometry capabilities, post-treatment monitoring and expanding their research assays portfolio
The acquisition of Cytognos by BD Biosciences aims to set up future impact in multiple areas by expanding BD’s portfolio with their specialism in flow cytometry. Flow cytometry is an important application in both life science research and clinical diagnostics.
Cytognos has over 20 years experience in flow cytometry products, for both in vitro diagnostics and life science research use, which complements BD’s products and specialisms. They collaborate with the Euroflow consortium to bring innovative technologies to market; this acquisition will also enable BD to access the assays from the Euroflow consortium which are licensed by Cytognos.
On top of this, 80 Cytognos scientists will join the BD team, bringing their expertise and experience. Overall, the acquisition strives to benefit the life science community by providing tools to help with the understanding of cancer and chronic diseases.
When we reflected back on insight we have shared into the companies involved in this acquisition, we found that BD Bioscience has seen success in the kits and assays market, demonstrated by their prominence in the flow field (a field they are very well-known in amongst the research community).
Looking at our flow instrument data, we found that BD have a significant hold on the market. Delving then into our flow cytometry antibody data, we noted that BD unsurprisingly had a strong citation share with around a quarter of citations in the market. Although we have seen their citation share decrease over the last few years, they still hold a strong second place in this highly competitive market.
Acquisitions such as this one may help strengthen BD’s product offering in this core area of their business, particularly given the presence of successful competitors trying to take market share from BD.
Wrap up comments
We hope you have gained some useful and interesting insight about these three acquisitions in the industry. If you’d like to read on, you can find our 2021 spotlight on life science deals and acquisitions here.
Do get in touch if you’d like to find out more about our market data and how it can be used to gain further insights.
We are looking forward to seeing the exciting progress made in the industry in 2023!
- Skye and the CiteAb team