When bluebird bio announced its plans to split into two separately listed entities, analysts were enthusiastic and social media commentators compared it to a different, recently well-received transaction. But previous biotech separations suggest that bluebird’s move could result in both winners and losers.
Stock Watch: The Mixed History Of Biotech Company Separations
Was Bluebird’s Split Accompanied By Premature Enthusiasm?
The path of spin-offs from loss-making biotech companies with weak investment propositions seems clouded with examples that often resulted in an appointment with the liquidator.
