Will M&A Cure Ailing Life Sciences Stocks?

Hedge funds specializing in healthcare and biopharma are hoping that a surge in merger deals will jump-start their sickly performance.

T. Narayan/Bloomberg

T. Narayan/Bloomberg

Several life sciences hedge funds are on a two-month winning streak, raising investor hopes that the sector has truly bottomed after suffering sharp losses over the past year and a half.

One significant reason for the resurgence is the belief — or at least the hope — that recent acquisitions of biotech companies by big pharma will help spark a resurgence in other life sciences stocks.


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