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Replies to #74627 on Biotech Values
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DewDiligence

03/16/09 3:48 PM

#74628 RE: wallstarb #74627

Exactly right—some of the buyout money from the large mergers will be recycled into other drug/biotech companies, which helps to solidify the companies whose stocks are recipients of this money and thereby facilitates capital-raising and funding of new R&D by these companies.
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corpstrat

03/16/09 5:31 PM

#74640 RE: wallstarb #74627

<<DNA will free up nearly $50 billion in cash that will then find its way back into the smaller names.>>

Let's hope so. Nothing requires the money to stay in the biotech sector, but to the degree that the shareholders are biotech experts maybe they will favor stocks they understand well, over alternative investments.