Three life science sector mergers and acquisitions from 2023
In this blog:
- We look back on three major life science deals announced in the past year
- Find out what CiteAb reagent data reveals about the companies involved
- Look back on analysis we’ve shared into further acquisitions in the sector
In a sector that is constantly evolving to meet researcher needs and provide the most innovative and forward looking solutions, we have seen numerous impactful deals in the life science sector announced throughout the past year.
Today, we take a deeper look at a small selection of mergers and acquisitions announced or completed in 2023 that have caught our eye, and share some of our own analysis and insight. To do so, we draw from our citation database to better understand the market position of the companies involved.
In previous analysis on our blog we have looked at the acquisitions of BioVision by Abcam, BioLegend by Perkin Elmer and the buyout of Mavarai Life Science by Vector Laboratories. More recently, we reported on the acquisition of PeproTech by Thermo Fisher, Namocell by Bio-Techne and Cytognos by BD Biosciences.
So, what did we find in 2023?
Thermo Fisher Scientific (NYSE:TMO) and Olink Holding AB (Nasdaq: OLK)
To grow in the proteomics market with a variety of solutions, and complement existing life science and mass spectrometry offerings
Thermo Fisher Scientific announced their upcoming acquisition of Olink in October 2023, for $26.00 per common share in cash, valuing Olink at around $3.1bn.
Olink’s expertise lies in advanced proteomics discovery and development, supporting both biopharmaceutical companies and academia. The company now has offices in Boston, Shanghai, Singapore and Tokyo, on top of their headquarters in Sweden. They aim to provide solutions for protein biomarker discovery, and enable scientists to better understand human health and disease through technologies such as their Proximity Extension Assay (PEA) which enables high throughput protein analysis.
The acquisition looks to grow Thermo Fisher’s impact in the proteomics arena. This follows their launch of the orpitrap mass specs, demonstrating a continued focus in this space in which they are well known leaders in.
Olink will be becoming part of Thermo’s Life Sciences Solutions Segment. Coupled with Thermo Fishers’ global reach and operations, the companies state that this acquisition will enable ‘significant opportunities for both customers and colleagues’.
When looking into our reagent data, we found that Thermo Fisher Scientific have recently claimed a spot in the top 100 most cited life science kits list, with 30 of the top 100 kits. Adding kits and assays such as Olink’s PEA assay could help to increase their strong market presence here, given this technology has already seen 1,400 publications. In fact, Olink’s share of the kits market has increased ten-fold since 2017. Furthermore, the PEA is a type of multiplex immunoassay – a market we’ve identified as increasing in both size and competition.
Across four of our recent top 100 blogs (kits, bioactive products, growth factors and antibodies), Thermo Fisher Scientific featured as a prominent supplier, demonstrating product popularity amongst researchers in multiple markets. We have also noted Thermo Fisher’s leadership in antibodies, where they feature in the top three by share. Their strength here may complement Olink’s, given their proprietary technology requires antibodies.
On top of this, we commented last year on Thermo Fisher’s acquisition of PeproTech, a leader in the protein space. With another major acquisition in 2023, we will be interested to see how their footprint broadens in the life science industry and what comes next.
Vector Laboratories and Click Chemistry Tools and Fluoroprobes
Supporting long term growth with manufacturing capabilities and labelling and detection technologies
Announced in March 2023, the acquisition of Click Chemistry Tools and Fluoroprobes by Vector Laboratories aims to better serve scientists with bioconjugation solutions. The acquisition is looking to power growth in protein detection innovation with click chemistry, and expand their manufacturing capabilities.
Click Chemistry Tools focuses on cross-linking and labelling products using the click chemistry technique, a fast and specific way of forming new compounds. The technique services industrial as well as academic customers.
Fluoroprobes manufacture fluorescent dyes. These are essential detection reagents, and Fluoroprobes focuses on quality and reproducibility in this space.
The pairing of dye manufacturing and conjugation expertise through the acquisition of these companies looks to expand Vector’s current offering to the research community.
Over on our blog, we have previously commented on a buyout from Vector Laboratories of Mavari Life Sciences. We also noticed they announced the acquisition of Quanta BioDesign in 2023. This activity showcases their move towards an acquisition strategy; we will be interested to see the impact of this strategy unfold in our data.
Currently, our data shows Vector’s success in multiple areas, providing evidence that this strategy may be working. They appeared in this year’s top 100 list for kits & assays analysis, where we examine the most cited kits of the past year. Their four kits in the top 100 are detection/staining based, mirroring this acquisition of companies with detection and labelling capabilities.
On top of this, as of 2022 Vector labs ranked in 8th position in the biochemicals market, with over 1% of the market share. We will be interested to see any impact on their share in the biochemicals space as a result of these recent deals.
Standard BioTools Inc. (Nasdaq: LAB) and SomaLogic
Combining expertise and resource to create a leader in multi-omics tools
The merger of Standard BioTools Inc. (formerly Fluidigm) and SomaLogic was announced in October of 2023. Giving the combined company a pro-forma equity value of $1bn, the deal is aiming to expand the reach of both companies and bring cross selling opportunities, as well stimulate future growth with the funds to focus on areas of interest.
SomaLogic has a focus on proteomics tools, with technology that can record thousands of protein measurements on very small sample sizes. This supports drug research and development, as well as biomarker identification work.
Standard BioTool’s expertise lies in their proprietary mass cytometry and microfluidics technology, harnessed for translational and clinical research.
It has been noted that the two companies complement each other with their main areas of presence: Standard BioTools in their success in academic research and SomaLogic’s reach in biopharmaceutical research. Furthermore, SomaLogic focuses more on aptamers, which may complement Standard BioTools who utilise antibodies.
Over on our blog, we have previously commented on Standard BioTools who caught our attention with their growth in citation share.
Our data revealed their antibody citation share had risen significantly, taking them from a rank outside of the top 100 in 2015 to entering the top 40 in 2021. These citations reflect an increasing use in their instruments, impressive growth given this is compared against standalone research antibody citations from other companies. Looking at more current data, we have noticed that their share has more than tripled since 2018.
We had also previously noted that compared to some other reagent suppliers, Standard BioTools was more focused on US and UK markets.
We will be interested to see how this merger drives further growth, and if their strong position to invest leads both companies into strength in new markets across the globe.
If you’re interested in further insights into major deals, acquisitions and mergers of life science companies, you can see our article from last year on the topic.
To discuss our reagent market data in more detail, and what it can show about companies of interest in the research reagent industry, do get in touch with the team here at CiteAb!
We will be bringing you lots more analysis on our market data over the year, so do stay tuned and subscribe to our newsletter at the bottom of this page to be kept up to date!
- Skye and the CiteAb team