scholarly journals Multiyear patterns regarding the relative availability of venture capital for the US biotechnology industry

1969 ◽  
Vol 15 (4) ◽  
Author(s):  
J Leslie Glick
Keyword(s):  
Venture Capital ◽  
Early Stage ◽  
Coming Of Age ◽  
Personalised Medicine ◽  
Biotechnology Industry ◽  
Long Run ◽  
Start Up ◽  
The Us ◽  
Biotechnology Companies ◽  
Long Term Trends

Venture capital (VC) funding of US biotechnology companies was analysed relative to total VC investments placed in US companies from 1995 to 2007. During those years, except for a spike because of the dot-com bubble from 1999 to 2001, VC funding of US biotechnology companies grew at a faster rate percentagewise than total VC funding of US companies, with respect to annual dollars invested, number of deals closed and the mean dollar investment. Start-up and early-stage VC funding of US biotechnology companies also grew at a faster rate percentagewise, with respect to all three parameters, than total start-up and early-stage VC funding of US companies. It was further observed that long-term trends in the availability of VC for biotechnology do not appear to be affected by perturbations in the financial markets and short-term fluctuations in the availability of VC. It was concluded that the biotechnology industry should continue to attract VC over the long run particularly because of the emerging impact of personalised medicine and the coming of age of bioenergy.

The life sciences industry and the changing IP landscape

2013 ◽  
Vol 19 (3) ◽  
Author(s):  
Gareth Williams
Keyword(s):  
Personalised Medicine ◽  
Life Sciences ◽  
Biotechnology Industry ◽  
The Us ◽  
Financial Climate ◽  
Biotechnology Companies ◽  
Industry Survey ◽  
Life Sciences Industry

This article looks at the findings of Marks & Clerk’s 2013 Life Sciences Report, launched in April 2013. Of interest to both R&D/IP experts and professionals in strategic positions within biotechnology companies, it explores many of the issues facing the biotechnology industry and is informed by an industry survey of over 330 international life sciences professionals. Topics explored include the financial climate, growing markets in Asia, IP reforms in the US and Europe, biosimilars and personalised medicine.

Spatial collocation and venture capital in the US biotechnology industry

2011 ◽  
Vol 40 (9) ◽  
pp. 1188-1199 ◽  
Author(s):  
Christos Kolympiris ◽  
Nicholas Kalaitzandonakes ◽  
Douglas Miller
Keyword(s):  
Venture Capital ◽  
Biotechnology Industry ◽  
The Us

scholarly journals 2003: What lessons for European biotechnology?

10.5912/jcb87 ◽  
2004 ◽  
Vol 10 (4) ◽  
Author(s):  
M S Fazeli
Keyword(s):  
Venture Capital ◽  
Biotechnology Industry ◽  
Equity Capital ◽  
Public Markets ◽  
Level Of Activity ◽  
Risk Appetite ◽  
The Us ◽  
The Usa ◽  
Liberal Attitude ◽  
Biotechnology Sector

The biotech sector had a sizzling year last year, raising US$19bn in cash globally. This paper looks at the performance of the biotechnology sector on both sides of the Atlantic in terms of financing activity. Financing activity in the European biotechnology industry is still a long way off from the USA, with public fundraising only reaching the level that the USA had in 1997 and venture capital financings getting close to the US levels of 1994–95. This suggests that at least another five to eight years is needed before there is even a chance to get near where the USA is today. However, the sheer size of the US equity capital market and its liberal attitude to fundraisings and higher-risk appetite is likely to mean that European biotechs will never catch up with the USA, even if our science (across the whole of Europe) is as good. This does not mean that Europe cannot have a thriving biotechnology industry. Indeed, the current level of activity in the venture capital and public markets suggests that Europe is only just getting serious on biotechnology.

Venture capital and private equity industry in Hungary

2013 ◽  
Vol 63 (1) ◽  
pp. 23-42 ◽  
Author(s):  
Judit Karsai
Keyword(s):  
Venture Capital ◽  
Small Businesses ◽  
Private Equity ◽  
Western Europe ◽  
Stock Exchange ◽  
Debt Crisis ◽  
Early Stage ◽  
Government Interventions ◽  
Business Plans ◽  
Start Up

Hungary represents the second most developed venture capital and private equity (VC&PE) market in Central and Eastern Europe. This article is based on a detailed survey of the entire VC industry between 1989–2010. It demonstrates that while there was a relatively strong correlation between the allocation of capital to VC&PE funds and the capital flow into the Budapest Stock Exchange, the changes in investment activities were closely related to election years. Investments had been hampered primarily not by the shortage of capital, but by a lack of demand and attractive business plans. The article illustrates the different roles and approaches of global, regional and country VC&PE funds in Hungary. It points out that VC investments hardly satisfied their principal function or mission, namely to support innovative start-up and small businesses. Government interventions in the VC market proved to be ineffective as well. Similarly to the whole region, the Hungarian market profited from a transitory situation in the case of high-value PE transactions between 2007 and 2008, at the beginning of the crisis, when the investment problems in Western Europe had yet not extended to the CEE region. From 2009 onward, however, the crisis has resulted in a drop in investments despite the significant amount of uninvested capital accumulated in recent years. As to the prospects for 2013, the early-stage VC segment in Hungary is expected to flourish owing to the Jeremie funds, while the high-value buyout segment of the market will suffer from both the euro zone debt crisis and the loss of transparency in economic policy.

Russia-Focused Venture Capital Supports In-Bound Technology Transfer and Company Building: An Analysis of Investment Trends and Outcomes

2014 ◽  
Vol 20 (1) ◽  
Author(s):  
John M. Garvey ◽  
Shann Kerner ◽  
Axel Tillmann ◽  
Dmitry Kuzmin
Keyword(s):  
Technology Transfer ◽  
Venture Capital ◽  
Early Stage ◽  
Clinical Stage ◽  
Trade Surplus ◽  
Russian Government ◽  
Investment Funds ◽  
Biotechnology Companies ◽  
Biotechnology Sector

This paper analyzes the approaches taken by the Russian government to promote innovation in the biotechnology sector within the country.  Russia is economically strong, currently with a trade surplus, and the country is investing broadly in initiatives that have resulted in in-bound technology transfer, as well as an expansion of the private sector.  These initiatives include government venture capital and investment funds, as well as physical technology “incubator” centers.  The result has been an increase in the number of clinical-stage biotechnology companies operating in Russia, as well as an increase in the number of pharmaceutical candidates undergoing trials in the country.  The biotechnology “boom” has also resulted in an increase in the number of early-stage companies.  This paper investigates current deal and investment trends from the funds that are the principal supporters of biotechnology companies in Russia.

scholarly journals Financing Innovation: Evidence from R&D Grants

2017 ◽  
Vol 107 (4) ◽  
pp. 1136-1164 ◽  
Author(s):  
Sabrina T. Howell
Keyword(s):  
Venture Capital ◽  
Experimental Evaluation ◽  
Early Stage ◽  
New Ventures ◽  
Large Sample ◽  
Grant Program ◽  
The Us ◽  
Quasi Experimental ◽  
Positive Impacts

Governments regularly subsidize new ventures to spur innovation. This paper conducts the first large-sample, quasi-experimental evaluation of R&D subsidies. I use data on ranked applicants to the US Department of Energy's SBIR grant program. An early-stage award approximately doubles the probability that a firm receives subsequent venture capital and has large, positive impacts on patenting and revenue. These effects are stronger for more financially constrained firms. Certification, where the award contains information about firm quality, likely does not explain the grant effect. Instead, the grants are useful because they fund technology prototyping.(JEL D22, G24, G32, L53, O31, O34, O38)

The Economic Card in China’s Pro-active Diplomacy

2015 ◽  
Vol 07 (03) ◽  
pp. 99-101
Author(s):  
John WONG ◽  
Tai Wei LIM
Keyword(s):  
Direct Investment ◽  
Infrastructure Investment ◽  
Capital Account ◽  
Foreign Reserves ◽  
Trade Surplus ◽  
Investment Bank ◽  
Economic Diplomacy ◽  
Long Run ◽  
Start Up ◽  
The Us

China has been conducting its economic diplomacy with strong financial muscles. With its vast foreign reserves, both trade surplus and capital account surplus, China became the world’s third largest source of foreign direct investment and provided half of the US$450 billion start-up capital for the Asian Infrastructure Investment Bank. China has also learnt that economic diplomacy, to be effective and viable in the long run, has to abide by certain essential market rules.

scholarly journals Venture Capital and Valuation of Innovative Start-ups: the Business Case of Mosaicoon

2020 ◽  
Vol 9 (2) ◽  
pp. 01-15
Author(s):  
Antonio Del Pozzo ◽  
◽  
Salvatore Loprevite ◽  
Domenico Nicolò ◽  
◽  
...  
Keyword(s):  
Venture Capital ◽  
Performance Indicators ◽  
Early Stage ◽  
Business Case ◽  
Cash Flows ◽  
Venture Capitalists ◽  
Expected Return ◽  
Continuous Growth ◽  
Start Up ◽  
Start Ups

This article analyzes the decline of one of the best well-known and promising European start-ups: Mosaic on L. t. d. The business case is emblematic of many bankruptcies caused by strategies focusing on the expectations of continuous growth of economic capital and based on unconventional performance indicators, without considering the economic-financial results and self-financing. The expectations of return on capital are extremely high and this forces one to undertake risky growth paths with very high expected return rates. This also happens in the absence of an advanced and effective capital market. Venture capitalists, even when they are public, cannot compensate for these excesses. The analysis of the case contributes to the debate on the complex topic of assessing the potentiality of start-ups and it provides useful suggestions to operators (venture capitalists, business angels, start uppers, investors, etc.) for greater prudence in considering the non-financial performance indicators. Start-ups do not produce economic results in the early stage, so they may also be valued by using non-financial metrics. However, unconventional indicators cannot be the only parameters for evaluating. When the firm is a start-up without meaningful financial information, it is more appropriate to refer to a reliable business plan drawn up on rigorous estimates of expected incomes and cash flows. Keywords: Venture capital, Start-up, Default, Performance indicators, Business case.

scholarly journals Corporate venture capital: global trends and evaluation of russia’s prospects

2019 ◽  
Vol 5 (2) ◽  
pp. 114-128
Author(s):  
О. A. Yeremchenko
Keyword(s):  
Venture Capital ◽  
Mobile Communications ◽  
Early Stage ◽  
Corporate Venture Capital ◽  
Global Trends ◽  
Second Stage ◽  
Start Up ◽  
Corporate Venture ◽  
Total Investment ◽  
Start Ups

The article analyzes the global trends of corporate venture financing (CFE) as a whole and for individual sectors of the economy. It is shown that the industries in which KFW is most actively and dynamically used are the Internet, mobile communications and healthcare. The maximum attention of corporate venture funds is attracted by start-ups in the early stages of raising capital, more than half of all venture capital deals are made at the Seed / Angel (seed stage) and Early Stage stages (the second stage of attracting start-up capital). The most common exit from venture capital deals during 2014–2018. For most industries, the redemption share of the FAC is a management startup (Management Buyout). It was concluded that Russia is poorly included in the use of corporate venture capital as a tool for building technological capacity: the country’s share in the number of corporate venture capital transactions in 2018 is 1.9% of the global total, and the total investment of Russian enterprises estimated at only 0.45% of the global total. It was suggested that it would be expedient to increase the activity of Russian corporations in the field of creating and using the capabilities of the FSC.

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