How The Pandemic Changed Deal-Making Between Biotechs And Big Pharma

An unexpected but largely positive aspect of the pandemic has been the ample flow of capital into the biotechnology sector as companies came up with innovations for preventing and treating COVID-19. Investors responded out of a sense of urgency, and with that came an adjustment in the balance of power between biotechs and big pharma companies. It has reframed the landscape for biopharma business development, panelists noted at the Dechert Healthcare Deals Conference on 23 September.

Many biotechs are flush with cash, giving them greater optionality in how they advance their programs. Prices for earlier-stage and even preclinical assets have risen. Initial public offerings for biotech...