Valuation Services:
Accel BioPharma Group offers Valuation Services for BioPharma clients.
In order to calculate the value of a growing company, numerous factors have to be taken into account and a comprehensive analysis has to be performed. In addition to quantifiable factors, non-quantifiable “soft” factors critical for an accurate valuation must be assessed. The analysis of these factors is mainly based on the following:
- The management
- The market
- The science and technology
The management, market, science and technology are systematically evaluated, described and further developed to generate a comprehensive risk assessment that is used as a basis for the valuation.
Valuations are performed using a variety of accepted and proven methods, providing insight from differing perspectives. Methods most appropriate to the circumstances of the company are used and are typically a combination of the following:
- Discounted cash flow (DCF) method
- Risk-adjusted Net Present Value (rNPV) method
- Venture capital method
- Market comparable method
- Comparable transactions method
- Decision Tree valuation / Real options method
Company Valuation
Our comprehensive Valuation Reports contain a detailed assessment of the value drivers of the company. As specialists in the valuation of companies, we provide reports of 15 – 30 pages including:
- an assessment of the management team
- an assessment of the science, technology and products
- an analysis of the company’s business model in the current market environment
- a summary of key risk factors and future potential
- implications for further strategic development
- value drivers for successful development of the company
- assumptions used for the valuation
- calculation of the company’s value using up to six acknowledged methods.
Our Valuation Report is not merely a calculation of a valuation range but also includes a thorough assessment of the company by experienced professionals from relevant fields. We prepare independent Valuation Reports for both investors and entrepreneurs. Of course, all information provided by our customers is treated confidentially.
We carry out a detailed calculation of the risk adjusted net present value for the licensee and licensor. This can then serve as a basis for negotiations or to structure different deal scenarios (front-loaded, milestone based or back loaded). The product valuations include:
- Industry standard rNPV valuation methodology based on indication-specific attrition rates and the clinical development stage.
- Scenario and sensitivity analyses plus Monte Carlo simulations.
- An analysis of the current value and forecasts of the future value following the successful completion of key development milestones.
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