The Burrill Report (October 16, 2009): Why Not Everyone Is Cheering For A Flood of Biotech IPOs

A recent spate of public offerings is heating up optimism that the IPO window may be once again opening for biotechs. Indeed, money has been flowing into the sector and there have been a number of financings that have raised hope that it is possible for biotechs to once again go public. But not everyone thinks an IPO window for biotechs is such a good thing. And with cash rich pharmaceutical companies still in need of rebuilding their pipelines, they, rather than IPO investor, may be positioned to capture the best and the brightest of what could be the IPO class of 2010. We spoke to John McCamant, editor of the Medical Technology Stock Letter about the state of the IPO market for biotechs, what it will take for companies in the sector to go public, and lessons learned from past IPO windows.