SGX Pharma (Nasdaq: SGXP) 6-Month Chart

Shares of SGX Pharma (SGXP) soared after hours Tuesday on news of an all-cash $64 million buyout from Eli Lilly (LLY). The buyout represented a premium of more than 100% at $3 per share for SGX, which is being acquired for its drug discovery platform focused on oncology. The two companies have collaborated since 2003, and the deal is expected to close during the second half of the year.

Recently, several buyouts at 100%-plus premiums for micro-cap biotechs such as cancer drug developer Kosan Biosciences (KOSN) by Bristol-Myers (BMY) and Barrier Therapeutics by privately-held Stiefel Labs have taken place as larger pharmaceutical companies look for deals to bolster their pipeline and product portfolio. Also, shares of many small and micro-cap biotechs are trading at multi-year or all-time lows as risk-averse investors have avoided the entire group in response to bear market …

The Masters haven't mentioned Onyx Pharmaceuticals Inc (NASDAQ:ONXX) in a long time, since our 100%+ gain with our Master Picks Newsletter.  Barron's is jumping on the bandwagon now that shares are down to $33.  Can Nexavar, Onyx's cancer drug take the company and stock back into the spotlight? Onyx Pharmaceuticals Inc's (NASDAQ:ONXX) cancer drug has bright potential in treating several forms of the disease and could raise the biotech company's shares, according to a report on Sunday in Barron's (Paid portion only, thus no link provided). With sales of its drug Nexavar, now approved to treat kidney and liver cancer, expected to hit $1 billion next year, Barron's said one health-care investor is looking for earnings of $1.93 per share, and valuing the stock at $65 to $75 per share....