Biotech Mega Deals

Earlier in the week, Rueters reported that Ernst & Young had just released their annual Global Biotech Survey. According to the Consulting Firm:

"One or more mega acquisitions of mature biotechnology companies along the lines witnessed with MedImmune -- and nearly seen with Biogen Idec in 2007 -- is likely."

But do big deals make sense? Some experts believe smaller, more targeted, deals provide better results. And there is probably a lot more validity to the latter approach of smaller deals.
As one of my friends is fond of saying, "If you take one large empty drug pipeline and combine it with another large empty drug pipeline, you get one VERY LARGE....EMPTY PIPELINE."

Bigger isn't always better.