Investors are placing their bets on the next M&A deal in biotech. Where should you be looking?
As you may already know, Abbott Laboratories inked a deal to pay $6.6 billion for the drugs unit of Solvay . The purchase gives Abbott full control of its Belgian development partner's cholesterol treatments and exposure to emerging markets.
Also Johnson & Johnson inked a $400 million stock deal with the Dutch biotech firm Crucell as part of a flu vaccine development agreement.
With major deals going down, investors are placing their bets on the next M&A deal in biotech. Where should you be looking?
For insights we turned to Bernstein senior biotech analyst Geoff Porges. There are a lot of companies that look interesting, he says. Companies such as these could easily get taken out.
Porges' Potential Takeover Targets
Biotech stocks have underperformed the market and the group should be well positioned going forward, he says.