Biopharma M&A activity has already been big news in 2018. On  January 22, it was reported that Celgene had bought the 90% of Juno Therapeutics it did not already own for $9 billion, just weeks after they announced the purchase of cancer startup Impact Biomedicines.  This news fits within a few broader trends we are seeing in the biopharma industry and sets the tone for this year, in which we expect to see a lot more M&A activity in the industry. Tax reform in the United States, particularly a lower levy on US companies’ overseas cash, means we will see companies repatriating these funds and likely spending them on M&A activity. This M&A activity will lead to consolidation in increasingly-crowded categories, such as cancer therapy, and there will be a continued focus on young or early-stage development companies.