‘The rise of Corporate Venture Capital (CVC) investment in UK biotech’ report now published by the Association of the British Pharmaceutical Industry (ABPI)

Medicines Discovery Catapult

The new research published by the ABPI shows that the amount of capital invested alongside CVC into UK companies increased six-fold between 2010 and 2015, marking a fundamental shift in how start-up British biotech is funded.

The report found that:

  • Corporate venture capital, where pharma companies invest their own funds in emerging start-ups, is now established as a key source of capital for biotech innovation in the UK.
  • During 2015, financing rounds involving CVC amounted to $647 million of $1033 million invested in unquoted UK life sciences companies (2016: $567m of $965m).
  • UK companies closed 68% of European financing rounds involving CVC in 2016, up from about a fifth a decade ago.
  • Interviewees particularly highlighted the strength of the UK contract research organisation sector, clinical research opportunities, and patient organisations with excellent links to clinicians, facilitating patient centric research. “Government support for biotech innovation, primarily through the Biomedical Catalyst and in future with the Medicines Discovery Catapult, was also valued.”
  • To read the report in full click here