Filing Flows › Halozyme Therapeutics (HALO) › Takeover & LBO
Is Halozyme Therapeutics (HALO) a takeover target?
A leveraged buyout at today's price plus 30% ($170.18 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 $87.92 a share (−33% against today's $130.91). Historically 3.3% of companies with its figures were bought within a year (0.65× the average).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $170.18 | today's $130.91 plus 30% |
| × shares | 122.6 million | |
| = Equity value | $20.9B | |
| + Debt refinanced | $2.1B | |
| − Cash | $1.0B | |
| = Enterprise value | $22.0B | 31.8× EBITDA of $691M |
| Fees | $440M | 2% of the price |
| New debt | $3.8B | 5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA |
| Buyer's own money | $18.6B | 83% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $1.9B | $746M | $291M | $314M | $3.5B |
| Year 2 | $2.1B | $797M | $267M | $370M | $3.1B |
| Year 3 | $2.2B | $840M | $238M | $425M | $2.7B |
| Year 4 | $2.3B | $876M | $206M | $477M | $2.2B |
| Year 5 | $2.4B | $902M | $169M | $526M | $1.7B |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 24.8× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $22.4B | |
| − Debt left | $1.7B | |
| = Buyer's equity | $20.7B | |
| Money multiple | 1.11× | on $18.6B put in |
| Buyer's yearly return (IRR) | 2.2% |
Price against return
What the buyer makes at other premiums over today's $130.91; the IRR reaches 20% at $87.92 a share.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $144.00 | 6.2% |
| 20% | $157.09 | 4.1% |
| 30% | $170.18 | 2.2% |
| 40% | $183.27 | 0.5% |
| 50% | $196.37 | −1.1% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $1.8B | |
| EBITDA, last 12 months | $691M | 38.3% of revenue |
| Depreciation and amortization | $16.7M | |
| Capital spending | $12.4M | |
| Debt | $2.1B | |
| Cash | $1.0B | |
| Share price | $130.91 | 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 26% 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, Halozyme Therapeutics would cost about $176.73 a share, $21.7B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 22% | $159.71 | $19.6B |
| Median | 35% | $176.73 | $21.7B |
| High end (a quarter paid more) | 45% | $189.82 | $23.3B |
The odds, from history
Historically 3.3% of companies with its figures were bought within a year (0.65× the average). Its figures put it in decile 3 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.
Halozyme Therapeutics' latest quarter
Halozyme Therapeutics, Q3 2026: revenue $493M (+39% year over year), operating margin 59.8%, net earnings $247M, operating cash flow $258M. The chart follows the revenue to costs, profit and cash.
Questions
Is Halozyme Therapeutics being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Halozyme Therapeutics?
A leveraged buyout at today's price plus 30% ($170.18 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 $87.92 a share (−33% against today's $130.91).
What would a takeover of Halozyme Therapeutics 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, Halozyme Therapeutics would cost about $176.73 a share, $21.7B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.