H.C. Wainwright initiated coverage of Sensorion shares this week, with a Buy recommendation and a target of three euros.

In a research note published on Tuesday, the US research firm praises Sensorion's positioning in the hearing loss treatment market, which it believes has been strengthened by recent clinical studies and new financing.

In its study, the research firm particularly hails the entry into the capital of Redmile, a Californian investor in the healthcare sector, now the company's largest shareholder.

According to H.C. Wainwright, the arrival of this 'reference' investor sends a positive signal to the market, and could lead to the arrival of other US-based investors in the near future.

The analyst also notes that two of Sensorion's direct competitor biotechs have very recently been acquired by 'big pharmas', namely Akouos taken over by Eli Lilly at the end of 2022, and Decibel acquired by Regeneron last month.

For Wainwright, these transactions reinforce Sensorion's status as a potential takeover target, with the research firm considering Novartis as the most likely acquirer given its strong presence in Europe and its expertise in hearing loss and gene therapies.

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