Pharma, biotech and survivors
Put your chicken feelings away for bit
Be 100% rationale for 5 minute...
M&A activity is high in only one sector Pharma buying Biotechs.
That's it.
Many biotechs will die out this quarter or the next. for now everyone is affected and everyone is trading at cash value.
Picking up the survivors is easy.
Cash positive
or
Cash convertible Assets
or
Fully funded partnered biotech.
Cash positive - Biovail, Labopharm, TH, Cangene
Fully funded BioMS
Convertible assets to cash = TLN
Who is buying Biovail, Labopharm, TH, Cangene? No one.
Someone is buying TLN.
That alone is how valuable this company is.
If worst comes to worst, TLN choose between 4601 or 232 to move on to next level and sells Caprion.
No downside risk.
Only upside risk.
Market is already giving zero value for Shigamads, 4601 and 232. IT cannot go lower on disappointing results.
Offer to purchase TLN could be a way to grab Caprion, who knows what the buyer's intent is.
Regardless, this is a fire sale and current shareholders have already given up. Amazing situation for new investors, to grab cheap shares.