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The Rise and Fall of Biotech Zombies
This chapter delves into the phenomenon of biotech companies trading at negative enterprise values, exploring the reasons behind their struggles and the concept of 'zombie' firms with untapped potential. It highlights case studies of specific companies like Cargo Therapeutics and Immunomatics, discussing management decisions, investor relations, and the risks of wasted resources. The conversation emphasizes the importance of strategic pivots and the delicate balance of returning cash to shareholders versus investing in future opportunities.