Novartis has agreed to acquire biopharma company Anthos Therapeutics for $3.1 billion from Blackstone. The deal is the latest in a wave of PE mega-exits.
Anthos was originally launched in February 2019 as a joint venture between Novartis and Blackstone. Novartis will buy Anthos for $925 million upfront, with up to $2.15 billion in milestone payments. The deal is set to close in early 2025, pending conditions.
PE mega-exits—deals valued over $1 billion—have seen a recovery globally, driven by a rebound in large-cap M&A activity and an improving IPO market.
The sale of Anthos coincides with KKR agreeing to sell its US rigging company Kito Crosby for $2.7 billion to Clayton, Dubilier & Rice-backed rival Columbus McKinnon Corporation.
Also this week, Bloomberg reported that Carlyle Group-backed specialty-chemicals producer Nouryon filed for a US IPO. The listing, expected as soon as H2, could fetch the company a valuation of as much as $13 billion.
The momentum carries over from 2024, when the total value of mega-exits reached $443.7 billion across 160 deals, growing 17% from 2023, according to PitchBook data.
A significant driver of this trend last year was North America, where mega-exit values grew nearly 55% year-over-year, reaching $232.5 billion, up from $150.1 billion in 2023. The region also saw a 73% rise in exit count, with 83 mega-exits in 2024 compared to 48 the previous year.
Among the major deals of 2024 was the $18.03 billion acquisition of SRS Distribution by The Home Depot, marking the largest exit of the year. Leonard Green & Partners, Princess Private Equity Holding and Berkshire Partners all exited their investments through this high-profile transaction.
“Since Trump’s election, we’ve already seen a surge in deals—over 50 major transactions have taken place, and we lose count of new ones every day,” said Géraldine Sundstrom, head of investment offering at Pictet Wealth Management, at a recent roundtable event. “The M&A machinery is restarting, and that’s why we have a positive outlook.”
Other PE firms have echoed this sentiment. At the World Economic Forum in Davos, Ardian’s executive president, Mark Benedetti, said that many firms had postponed asset sales while waiting for the outcome of the US election, Reuters reported.
While uncertainty remains, PitchBook’s 2024 Global M&A Report found optimism will persist in 2025, with cross-border deals likely to continue amid valuation gaps between the US and Europe.
“Public market rallies could drive higher private valuations, particularly in tech and software, while healthcare M&A may rebound with regulatory easing and AI-driven innovation,” the analysis reads.
After navigating a volatile cycle, dealmakers are adapting, and with markets stabilizing, M&A appears set for a strong year ahead.
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