ETNB - 3 Biotech Buyout Targets to Watch
2023-04-29 08:25:00 ET
89bio (NASDAQ: ETNB) , Karuna Therapeutics (NASDAQ: KRTX) , and Morphic Therapeutics (NASDAQ: MORF) are clinical-stage biotech companies that make attractive buyout targets. Their financial positions may not be great, as they all have little revenue, but they have promising potential blockbuster therapies in their pipelines.
Financing has become more difficult lately for small and mid-sized biotechs. Facing big expenses to fund research and marketing of their drugs, these companies often turn to licensing deals, partnerships, and outright buyouts to see their blockbusters to the finish line.
They are all trading below what they would be if they were profitable companies, but that provides an opportunity for larger pharmaceutical companies and for investors. It allows a chance for a larger company to buy a de-risked asset and investors who think long-term can get in now on a stock that will likely jump if it gets a buyout offer.
For further details see:
3 Biotech Buyout Targets to Watch