Finance Watch: Biotech Valuations Seesaw On Bank Failure, Pharma M&A

SVB Shutdown Hurt, Pfizer/Seagen Deal Helped Sector

Public Company Edition: The closure of Silicon Valley Bank sank biotech stocks in the first full week of March, but valuations rose the next week when two big acquisitions were announced. Also, J&J’s consumer health spinout sold $7.75bn in notes ahead of its future IPO and Karuna grossed $400m in a follow-on offering.

Finance Watch Public Company
• Source: Alamy

With biotechnology stock valuations down for more than two years since peaking in February 2021, the industry has gotten somewhat used to volatility, but recent fluctuations paint a clear picture of how sensitive biotech stocks are to major events impacting the sector.

The total value of the global biotechnology sector, defined as pre-commercial therapeutics companies traded on any stock exchange around the...

Read the full article – start your free trial today!

Join thousands of industry professionals who rely on Scrip for daily insights

  • Start your 7-day free trial
  • Explore trusted news, analysis, and insights
  • Access comprehensive global coverage
  • Enjoy instant access – no credit card required

More from Financing

More from Business

After Gilead Deal, Hookipa Hangs Up Its Hat

 
• By 

The Austrian firm is delisting from the NASDAQ and closing down.

Genentech Gets Columvi Complete Response Following ODAC’s No

 
• By 

Seeking to move Columvi into second-line DLBCL, Genentech got an FDA letter saying the Phase III STARGLO study’s benefits may have been driven by results in Asian enrollees.

Novartis Chief Warns Of Fewer Launches And Drug Withdrawals In Europe

 
• By 

Reimbursement rules are disincentivizing innovation, according to Vas Narasimhan.