FINANCE ROUNDUP: A New VC Fund, A $60m Collaboration Boost, And 14 Funding Rounds
This article was originally published in Scrip
Private investment in biotechnology companies continues to churn out startups and support the next stage of drug development for established early-stage firms, despite the rollercoaster rise and fall of public biotech company valuations, with venture capital firms continuing to raise money for new funds and invest the proceeds in new opportunities.
You may also be interested in...
Pharma and biotech companies raised $4.6bn in the first quarter, exceeding the 2017 quarterly average by $1.4bn. But while the money invested soared, the number of companies funded sank. In public financings, MorphoSys commences US IPO and Mylan sells $1.5bn in notes.
Solid Biosciences was able to launch an IPO earlier this year despite a last minute disclosure about a partial clinical hold, which is now a full clinical hold that's cost investors money. Even so, Arcus Biosciences was able to launch its IPO. Ideaya, JW lead recent VC financings.
Seven biopharma IPOs launched in the US in January with an average return of 52.8%. The most recent was Sol-Gel's on Jan. 31, but the largest was a $128m offering by ARMO. Solid had the most controversial IPO, but it still gave investors a 70.7% return, contributing to the question: Is biotech in a bubble?