IPO Update: Biopharma Stands Out Among Gloomy US Market

While COVID-19 closed the window for most initial public offerings late in the first quarter, drug developers continue to launch IPOs, generating an average return of nearly 21% year-to-date.

Health care, led by biopharma, is the best-performing IPO sector in the US • Source: Shutterstock

The US market for initial public offerings after the COVID-19 pandemic closed the IPO window in mid-March is almost entirely a gloom-and-doom scenario. The one bright spot is the biopharmaceutical sector, where companies continue to go public and generate significant returns for investors.

Of the 11 drug developers that launched IPOs so far this year, including two in April, only four are trading...

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