Category: Investor-Relations 

“It’s no big surprise to say that 2022 was a tough year, not only across the market but also within the life sciences industry, however, it is evident that the healthcare sector continues to be strong, and innovation is on the rise. Post three straight years of trailing the S&P 500, the healthcare sector is even on track to close 2022 as a top performer. This conference is a great occasion for bringing together top industry experts and gaining new and wide-ranging insights on important topics that impact our work. We have enjoyed a series of insightful discussions and networking with both familiar and new colleagues."

AISHA LINDMAN 
Partner Koralis Corporate 

Navigating difficult markets: Expectations, Challenges and Opportunities 

The LSX Inv€$tival Showcase and the Jefferies Healthcare Conference were two of the most significant events in the biotech calendar, taking place during a busy week in the life sciences industry on November 15th in London. Both events provided a valuable opportunity for investors and biotech companies to connect and discuss strategies and potential deals amidst the current market conditions. The consensus among attendees was that, despite the difficulties, innovation has not stopped, and companies are already preparing for a resurgence once the geopolitical situation improves. The LSX Lifestars Awards, held at London's Old Billingsgate, was a highlight of the week, with several life sciences companies receiving recognition for their outstanding achievements. 

The Jefferies Healthcare Conference 2022, held at the Waldorf Hilton Hotel in London, provided companies with the opportunity to lay the groundwork for raising capital from investors in 2023. The discussions at the conference were in line with those at LSX. The conference was well-attended, and the panel discussions provided valuable insights on managing a business in difficult market conditions. 

As one of the most influential healthcare conferences in the European calendar, Jefferies sets the stage for the start of 2023 and the JP Morgan Healthcare Conference in January. With share prices down, it is possible that there may be some consolidation in the industry, as large pharmaceutical companies continue to seek new opportunities for their research pipelines. It will be interesting to see whether the JP Morgan conference leads to an increase in M&A activity.

Highlights Jefferies Healthcare Temperature Check

The fifth edition of the Jefferies Healthcare Temperature Check, the annual survey that examines the top issues in healthcare, with input from over 600 leaders and investors in the sector, provided key insights and findings and are a valuable addition to the discussions and data presented at the London Healthcare Conference.

The current global climate is marked by uncertainty and instability and as such reflected in the survey results, with inflation, interest rates, and geopolitical conflict rising on the risk watchlist. However, most participants viewed healthcare as a positive outlook compared to their more negative predictions for global markets.

Geopolitical tensions have also led to a decrease in interest in the Chinese market, with many respondents viewing it as less valuable than in previous years. North America is seen as the market with the greatest opportunity, with private equity particularly interested in the UK due to a weaker sterling. The uncertain economy has made it difficult for companies to access capital, and respondents expect the IPO market to remain challenging. However, for biotech specifically, respondents are confident that strong management teams with robust underlying technology will be able to attract investors.

This outlook sits in the context of changing expectations for different subsectors in the next 12 months, with large-cap biopharma becoming more attractive at the expense of small and mid-cap biotech. Private equity's growing interest in AI is notable, while institutional investors are increasingly interested in Peptides.

Most respondents anticipate a better deal landscape in 2023 than in 2022 but acknowledge that it will remain challenging. Private equity is less optimistic about deal opportunities than other groups, with corporate-led M&A seen as the most likely form of activity.

We invite you to read the full survey here, which includes videos featuring views from the healthcare bankers and analysts.