A market update from Locust Walk reports that biotech’s public-market comeback is accelerating, with the iShares Biotechnology ETF rising 34% and the SPDR S&P Biotech ETF up 39% over the past 12 months. The report also ties the rebound to a surge in IPO activity, noting 2026’s momentum versus 2025. Despite the optimism, licensing deals fell to a two-year low and M&A totals declined quarter-over-quarter, with average licensing size decreasing as deals concentrate more on clinical-stage assets. PIPE funding grew as well, signaling that investors are still backing late-stage risk, even as discovery-heavy and milestone-heavy discovery licensing has become less dominant in reported transaction economics.