Acquisition rumors swirl around Roche Holding
This blog has previously discussed technology acquisitions that affected the medical industry, and how business opportunities can help organizations offer better options to their customers. There could be more M&A activity in that sector, as there have been several reports that Roche Holding is trying to raise $15 billion to purchase BioMarin Pharmaceutical. Roche Holding is a Swiss-based, global health care company.
The move could help the drug company diversify its products, according to Fox Business.
Roche CEO Severin Schwan declined to comment to Bloomberg on "rumors," but added that his company has not been in the market to raise money or capital. He added that investors usually ask what the organization is going to do with its cash. According to the Basel, the Switzerland-based company's first-half earnings report, Roche had 3.6 billion francs ($3.9 billion) as of June 30.
"If there was a good strategic opportunity out there, I'd go after it," Schwan said.
According to Bloomberg, BioMarin has many experimental treatments in the works for rare diseases and cancer. Analysts also expect the company's revenue to grow by at least 20 percent in 2014 and 2015.
Whether Roche is seriously considering a technology acquisition or not, this poses a good example for entrepreneurs. Smart decisions are not necessarily rash decisions, and finding the right business opportunity could take time. Getting assistance from experts in the M&A area, such as accountants, lawyers and investment banking firms can also help companies.
A smart acquisition will benefit both businesses and offer comprehensive solutions to their customers. Price is just one area that is often debated during acquisitions, but it can be an important one. Reviewing all options is essential so owners can find middle ground.