M&A · Healthcare · Biological Products, (No Diagnostic Substances)
Innoviva, Inc. to acquire LA Jolla Pharmaceutical Co
Announced Jul 11, 2022 · Closed Aug 22, 2022
Deal value$149MEV $149M
Premium84.0%To unaffected price
EV / Adj. EBITDA17.4x2.9x EV / Revenue
ConsiderationAll cash$6.23 per share
Transaction
- Acquirer
- Innoviva, Inc. (INVA)
- Target
- LA Jolla Pharmaceutical Co
- Buyer type
- Strategic
- Offer price per share
- $6.23
- Enterprise value
- $149M
- Status
- Closed Aug 22, 2022
Deal protections
- Break fee (target pays)
- $7.2M · 4.9%
- Reverse fee (buyer pays)
- —
- Go-shop
- —
- Financing
- No financing condition
Advisors
- To the acquirer
- Moelis
- To the target
- TD Cowen
- TD Cowen fee
- $3.1M
Sector context · Healthcare
- Comparable deals
- 51 in the prior 24 months
- Premium
- 84.0% vs. 46.5% sector median
- EV / Adj. EBITDA
- 17.4x vs. 19.3x sector median
- Break fee
- 4.9% vs. 3.4% sector median
Timeline
- AnnouncedJul 11, 2022
- Tender offerJul 25, 2022
- ClosedAug 22, 2022
Valuation · fairness opinions
Trading comparables$3.90$6.10
Precedent transactions$3.40$6.40
Discounted cash flow$4.30$7.10
Discounted cash flow$5.60$6.80
Premiums paid$4.90$7.50
Offer $6.23
Implied value per LA Jolla Pharmaceutical Co share by analysis, from TD Cowen · DCF discount rate 17.5%–22.5%.