Biotech Values

[DewDiligence]

Re: Biotech buyouts at a large premium

>the premium relative to its 52w high certainly shows that buy & hold is not the path to riches.<

Thanks, Moby, for your table. As stated in my reply to corpstrat, it’s hard to generalize about these deals. Many acquisitions are indeed the result of failure (e.g. COLY, ENCY), while others are the result of impressive achievement and unique technology (e.g. SIRT, Sirna, GlycoFi). Still others appear to be driven by geography and a desire to bulk up (e.g. MLNM—I agree with micocapfun that Takeda overpaid).

The bottom line is that each case must be evaluated on its own merits. My motivation for posting the buyout table was to dispel the canard that acquirers will not pay a large premium to the market price. Regards, Dew