For more than a year, healthcare professionals have been challenged at every step in their response to COVID-19. Each facet of the healthcare industry, from research to direct care, has been impacted by the pandemic. An obvious shift in priorities emerged, and niche primary care options cropped up almost overnight. Technological upgrades allowed providers to provide care without coming in contact with every patient.
Emerging Biotech Companies
Companies like SummerBio, Codagenix, and other newcomers offered assistance and ingenuity to healthcare patriarchs. Research giants have made use of countless startups to procure around the clock data streaming in an effort to control the spread of COVID-19. The fast-moving advancements and continual improvements led to multiple vaccines being brought to market in record time. Additional studies are still underway, and biotech companies that emerged for a single purpose are proving to have great value in other healthcare sectors as well.
The explosion of new biotech companies entering the market have given investors and existing biotech giants a reason to pause. Perhaps surprisingly, there was no report of defunct biotech firms. Most existing companies either conserved resources to continue ongoing research, or jumped headfirst into the vaccine research and development race. Longstanding flagships like Merck even showed unexpected growth since the onset of the pandemic.
As the second largest firm in the global vaccines platform, Merck offers hundreds of pharmaceuticals that are effective against many diseases and ailments for both human and animal health. Quickly cornering the market on cancer research, Merck successfully introduced Keytruda. This exponentially popular immuno-oncology drug is anticipated to be the internationally top selling cancer treatment drug within the next five years.
To prepare for future growth and stabilize existing activities, the company is strategically reorganizing internal efforts. One of the major changes is the separation of the Organon line. In short order, the Merck healthcare for women sector of activities will be independently managed as a unique entity.
Valuing Biotech Firms
Unpredictable valuations within the biotech circuit have created wariness among capital providers. Even one or two isolated incidents of unsubstantiated or incomplete valuation reports can be catastrophic for fundraising efforts. Biotech companies depend on investors in order to bring their products or ideas to market. Comprehensive and accurate valuations are imperative.
The only way to gain peace of mind about a monumental investment decision is to consult with a reputable valuation firm with strong expertise. Appraisal Economics’ experienced professionals critically review valuation reports prepared by corporate financial teams as well as independent firms. We have over three decades of healthcare valuation experience, and we go the extra mile for our clients. Contact us today if you would like to learn more.