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Exploring trends and challenges in European biotech-pharma alliances
In our latest report, Mapping the terrain of biotech-pharma alliances in 2025, we delve into the evolving landscape of biotech-pharma alliances, building on insights from the EY German Biotechnology Report 2025. Through a survey of 100 alliance professionals across Europe and over 10 in-depth interviews, we identified key trends and challenges that are shaping the industry.
Publication: 01 Dec 2025
Language: English
Number of pages: 23
Document type: Report
Discover the key insights that are shaping the biotech-pharma alliances in Europe:
Strategic dealmaking: Companies are increasingly adopting a dual approach, combining smaller, targeted “bolt-on” deals with larger, late-stage alliances to swiftly address pipeline gaps.
Supply chain regionalization: In response to geopolitical tensions, firms are shifting toward resilient, hybrid supply networks that emphasize regional manufacturing and diversified sourcing.
AI alliance boom: Partnerships with artificial intelligence (AI) firms are becoming integral to research and development strategies, impacting the entire value chain from discovery to commercialization.
Pre-deal challenges: Partner sourcing remains a key hurdle, with early-stage biotech struggling to validate business cases and midsize firms navigating added complexity from external market and geopolitical pressures.
Deal-phase challenges: Valuation remains a major hurdle for early-stage biotech , which often struggles to justify pricing for unproven assets, while midsize firms face uncertainty in selecting the right deal structures to meet evolving strategic goals.
Post-deal challenges: Early-stage biotech often lacks the resources for effective alliance management, while midsize firms encounter growing pains in governance and partner coordination as alliances become more complex.
This research underscores the need for tailored strategies to enhance alliance execution and drive success in the biotech-pharma sector.
Key contacts:
Klaus Ort
Senior Partner, Life Sciences and Health EY Strategy & Transactions GmbH
Ying Strebe
Director, Life Sciences and Health EY Strategy & Transactions GmbH
Liangyu Wu
Senior Consultant, Studio Legale Tributario
Marie-Armelle Benito
EY Europe West Consumer and Health BMC Leader
