Key takeaways | Life Sciences Market Trends & Deal Drivers: Insights from McDermott & EY

McDermott Will & Schulte and EY explored the forces shaping today’s global life sciences market in a timely discussion that built on insights from our annual McDermott Forum at JPM. The webinar took a deeper look at the trends actually moving the needle across biopharma, MedTech, and diagnostics as the industry reached the midpoint of 2026.

With the industry heading into a critical stretch leading up to major convenings – including McDermott’s Life Sciences Investment Forum and AdvaMed’s MedTech Conference – the discussion cut through the noise to focus on what matters most for investors, operators, and innovators right now, including the growing impact of cross-border dynamics and China’s evolving role in the global life sciences ecosystem.

Key takeaways included:

1. Life sciences dealmaking is accelerating, but buyers are becoming more selective. 2026 is shaping up to be a breakout year for life sciences transactions, with larger, more strategic deals driving activity. Buyers are prioritizing assets that strengthen pipelines, support long-term growth, and create lasting value.

2. Companies are looking earlier in the pipeline for innovation. As patent expirations approach, biopharma companies are increasingly pursuing earlier-stage assets through licensing agreements, partnerships, and milestone-based deal structures that balance innovation with risk.

3. MedTech investment is focused on technology-driven growth. Strategic buyers are targeting AI, diagnostics, connected care, and other high-growth technologies, while favoring flexible deal structures that accelerate innovation and platform expansion.

4. Cross-border partnerships are reshaping the market. China continues to emerge as a key source of life sciences innovation, driving increased licensing and collaboration activity while also introducing new geopolitical and regulatory considerations for dealmakers.  

To view the webinar presentation materials, click here.