Industry Reports

Published on: 09/17/2015
The Pharmaceutical Outsourcing industry is finally benefitting from an improving drug pipeline (2014 featured the highest number of novel new drug approvals in the past decade). A reported increase in utilization of outsourcing by big pharma, and the proliferation of biologics and medicines for rarer diseases which are disproportionately being developed by venture‐backed or mid‐sized pharmaceutical companies who by design or necessity rely more heavily on outsourced providers.
Published on: 04/07/2015
M&A activity in the pharmaceutical outsourcing industry accelerated in 2014, with 92 transactions recorded for the year, a substantial increase over prior years’ figures. The industry’s robust activity is reflective of positive market trends, including a growing Big Pharma pipeline and their increased use of contract services. Meanwhile, pharmaceutical manufacturers are demanding more and more services from fewer and fewer vendors, leading to intensified consolidation in the industry as vendors work to add capabilities to meet this demand.
Published on: 01/23/2015
There was no shortage of M&A transactions in the medical device outsourcing industry in 2014. As activity rose in concert with the improving performance of both targets and buyers in the sector. Accelerating activity also reflected a higher level of CEO confidence that accompanied a settling of the industry, following several recent disruptive changes which included healthcare reform and the corresponding excise tax on medical device sales as well as an increase in the capital gains tax rate, all of which that took effect in 2013. 
Published on: 01/22/2015
The behavioral healthcare industry has seen a trend of consolidation in recent years, which continued through 2014. This past year, the industry peaked at 41 M&A transactions, fueled by rising valuations, industry consolidation and positive industry dynamics. More specifically, increased access to healthcare coverage has driven demand for behavioral healthcare services to outpace supply, pushing new investors who are anticipating continued growth into the market.
Published on: 09/09/2014
M&A activity in the pharmaceutical outsourcing industry has been strong in 2014, as buyers continue to seek strategic, tuck in acquisitions that can offer any of a number of advantages. These include expanded capabilities that can assist the acquirer in building a full‐service offering, niche research and production technologies and capabilities, expert talent, new geographic markets in this increasingly global market, and access to new blue‐chip customers.
Published on: 08/18/2014
The mergers & acquisition environment for the staffing & talent management industry has been very strong thus far in 2014, as an improving employment situation and a favorable operating environment for staffing companies continues to draw buyer interest. Capstone’s research indicates that 83 staffing & talent management transactions were reported through mid‐July, suggesting M&A activity in the sector in 2014 is on‐track to substantially out‐perform the activity of recent years.
Published on: 05/23/2014
Continuing a trend that we first noted last year, M&A activity in the medical device outsourcing industry appears to be accelerating. Thus far in 2014, several notable transactions have been completed or announced, and the volume of transactions is steadily rising.
Published on: 02/26/2014
The pharmaceutical outsourcing industry is broad, including not only traditional CROs and CMOs, but many other companies offering a diverse array of services to pharmaceutical manufacturers and biotech companies.
Published on: 01/23/2014
At the start of 2014, the medical device industry finds itself in familiar territory, battling many of the same issues it has faced for several years now. There are a few challenges facing the industry, despite perennial pressures, the outlook for the medical device industry is positive.
Published on: 10/07/2013
The staffing industry has experienced a particularly active M&A market thus far in 2013, reflecting an improving economy and a healthy operating environment for many staffing businesses. Capstone’s research indicates that 89 transactions were completed in the industry through mid‐September, suggesting M&A activity in the sector is on‐track to substantially out‐perform recent years.