“Big Pharma is running low on innovation?"
Heather Behanna, analyst for Wedbush Securities, noted of recent pharma acquisitions, including Teva buying Auspex:
“Interest rates being so low makes it easy for larger companies to get money for acquisitions. And some innovative small companies out there are about to embark on a transition to commercialization. Therefore, an acquirer can leverage its own infrastructure and basically reap the rewards of the novel products coming from the smaller companies.”
See Patent cliff continues to drive mergers in drug industry