I bring this up due to the recent mentions of a drug patent cliff mentioned by CNBC, Globe and Mail, and Brownstone Research that will affect many of the big pharmaceutical companies. Is this as concerning for them as it's made out to be or is it just noise?
There was a surge in biotech during covid, but that was because of covid. This one is more related to loss of profits.
If it is as detrimental as it sounds then what companies do you guys think would benefit from this? Im not very familiar in what big pharma looks for when acquiring small cap biotech, but I've seen mentions of investments in oncology and weightloss drugs.
Sellas is the name that's been hyped on this past month and I found it to be a coincidence that they're gearing up to be a solid buy out candidate at the same time the patent cliff is about to hit.
I only mention sellas because they're one of the few biotechs that legitimately feels like they can execute based on the past trial data and current ongoing trial. I used them as a frame of reference, however, that's not the point.
I want to know if there is a legitimate benefit for microcaps or small caps from the upcoming patent cliff.
What're your picks if you do expect a cliff and just give a quick summary about the drug as well. Late-stage picks would make the most sense, early or mid stage isn't even in contention because of how unpredictable they are.