CSL actually stands for Commonwealth Serum Laboratories, and they're an Aussie bio-tech company.
Background: CSL (which actually stands for Commonwealth Serum Laboratories) is an Aussie bio-tech company. They manufacture vaccines and other products to treat and prevent medical conditions.
What happened: This crew are worth a pretty penny (like $139 billion pretty) and now they've purchased Swiss pharma company Vifor for a whopping $16.4 billion.
What else: The deal gives CSL a huge foothold in the fast-growing market for kidney disease and iron deficiency treatments...this market is estimated to bring in US$25 billion annually by 2026. Thanks ageing population and rising obesity!
💡Mergers and acquisitions (M&A) are more popular right now than memes about ol' mate La Niña. And it's all thanks to cheap funding.
💡The official cash rate is at a record-low. And, when the cash rate is low, it means interest rates on loans tend to be low. In simple terms, the companies that borrow money to fund these big M&As can do so on the cheap.
💡So far, 820 deals worth around US$217 billion have been announced this year...which is double the previous record. And CSL's latest deal is just another notch in the belt.
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