Why Sarepta’s Licensing Deal Makes This Drug Maker An “Even More Attractive M&A Candidate”

Sarepta Therapeutics ( SRPT ) made big news last month with the long awaited FDA approval of its drug for Duchenne muscular dystrophy (DMD). Today, the drug maker is once again in the news, this time for its partnership with Summit Therapeutics ( SMTT ) that grants it licensing rights to the company's pipeline of early-stage DMD therapies. Summit's share price has doubled in value today. But some analysts argue that Sarepta made the smart move, positioning itself to profit from a rival's success.