Filing Flows › BioMarin Pharmaceutical (BMRN) › Takeover & LBO
Is BioMarin Pharmaceutical (BMRN) a takeover target?
A leveraged buyout at today's price plus 30% ($76.06 a share) would return about 2% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $29.30 a share (−50% against today's $58.51). It already carries 9.1× EBITDA in net debt (the model flags anything over 6×), so a buyer could add little debt of its own. Historically 2.1% of companies with its figures were bought within a year (0.41× the average).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $76.06 | today's $58.51 plus 30% |
| × shares | 193.6 million | |
| = Equity value | $14.7B | |
| + Debt refinanced | $4.2B | |
| − Cash | $736M | |
| = Enterprise value | $18.2B | 47.9× EBITDA of $379M |
| Fees | $363M | 2% of the price |
| New debt | $2.1B | 5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA |
| Buyer's own money | $16.4B | 89% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $3.9B | $409M | $159M | $92.2M | $2.0B |
| Year 2 | $4.2B | $437M | $152M | $121M | $1.9B |
| Year 3 | $4.4B | $461M | $143M | $150M | $1.7B |
| Year 4 | $4.6B | $480M | $132M | $175M | $1.5B |
| Year 5 | $4.8B | $495M | $118M | $198M | $1.3B |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 39.0× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $19.3B | |
| − Debt left | $1.3B | |
| = Buyer's equity | $17.9B | |
| Money multiple | 1.09× | on $16.4B put in |
| Buyer's yearly return (IRR) | 1.8% |
Price against return
What the buyer makes at other premiums over today's $58.51; the IRR reaches 20% at $29.30 a share.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $64.36 | 4.9% |
| 20% | $70.21 | 3.2% |
| 30% | $76.06 | 1.8% |
| 40% | $81.91 | 0.4% |
| 50% | $87.77 | −0.9% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $3.7B | |
| EBITDA, last 12 months | $379M | 10.4% of revenue |
| Depreciation and amortization | $265M | |
| Capital spending | $119M | |
| Debt | $4.2B | |
| Cash | $736M | |
| Share price | $58.51 | on Oct 30, 2026 |
Fixed rules, the same as the interactive view's starting point: the shares are bought at today's price plus 30%, the company's debt is refinanced and fees take 2%. New debt is the least of 5.5× EBITDA, 65% of the price and the amount whose interest EBITDA covers 2 times, at 7.65% a year (SOFR 3.89% plus the high-yield B spread 3.26% plus 0.5%, rates of Oct 15, 2026). Revenue grows 8.0% in the first year — the company's own rate, held between −3% and +8% — fading to 3% by year 5; the EBITDA margin, depreciation and capital spending stay at today's share of revenue; working capital takes 10% of each year's added revenue; tax is 30% of profit after interest. Every dollar of free cash flow repays debt. After 5 years the buyer sells at today's multiple of EBITDA.
What a takeover could cost
Takeovers in its sector paid a median premium of 35% over the share price before the deal (the middle half 22% to 45%), according to the 15 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, BioMarin Pharmaceutical would cost about $78.99 a share, $15.3B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 22% | $71.38 | $13.8B |
| Median | 35% | $78.99 | $15.3B |
| High end (a quarter paid more) | 45% | $84.84 | $16.4B |
The odds, from history
Historically 2.1% of companies with its figures were bought within a year (0.41× the average). Its figures put it in decile 1 of 10 (10 = the most likely to be bought). The odds come from a model of every merger proxy, tender-offer response and going-private statement filed on EDGAR since 2011, set against each company's size, margins, debt, cash flow and growth the year before.
BioMarin Pharmaceutical's latest quarter
BioMarin Pharmaceutical, Q3 2026: revenue $1.0B (+32% year over year), operating margin -8.0%, net loss $123M, operating cash flow $188M. The chart follows the revenue to costs, profit and cash.
Questions
Is BioMarin Pharmaceutical being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy BioMarin Pharmaceutical?
A leveraged buyout at today's price plus 30% ($76.06 a share) would return about 2% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $29.30 a share (−50% against today's $58.51). It already carries 9.1× EBITDA in net debt (the model flags anything over 6×), so a buyer could add little debt of its own.
What would a takeover of BioMarin Pharmaceutical cost?
Takeovers in its sector paid a median premium of 35% over the share price before the deal (the middle half 22% to 45%), according to the 15 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, BioMarin Pharmaceutical would cost about $78.99 a share, $15.3B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.