Anticipated Industry Growth Draws Soaring Crowd to BIO’s Annual InvestorForum

SAN FRANCISCO (October 19, 2006) – The promise of biotech industry growth and increased investment drew a record level of business executives, investors and media to the BIO InvestorForum 2006 held here Oct. 18-19. The annual InvestorForum provides investing, partnering and networking opportunities along with presentations highlighting an exciting array of innovative technologies and therapies to treat the world’s diseases.

Hosted by the Biotechnology Industry Organization (BIO) and its sponsors, this year the InvestorForum drew 1,166 people, including 430 investors, who participated in 823 one-on-one meetings.

“Our annual forum provides a unique opportunity for the business and investment communities to discuss ways of advancing early- and mid-stage companies through the research development cycle and into the market,” said Jim Greenwood, BIO’s president and CEO. “Attendees also hear from some of the world’s most innovative companies as they provide insights into their latest advancements.  We are delighted each year to see the growth of the conference, which reflects the continued growth of the industry.”

Thomas Bigger, president and CEO of Boston-based Paratek Pharmaceuticals, said, “The conference is a one-stop opportunity to network, meet with investors and potential partners, and to talk with peer companies. Instead of going to several different conferences that specialize in partnering or investing, I can do everything I need to do here.”

BIO’s Greenwood opened the Forum by providing his views on the potential impact of the upcoming mid-term congressional elections on the biotechnology industry.  He also outlined the key policy issues facing the industry in the coming year.

“From patent reform to drug safety to PDUFA our industry likely will face a myriad of challenges as the new Congress convenes in Washington D.C. next year,” stated Greenwood. “While the industry explores the technologies and business development opportunities discussed here this week, BIO is prepared to meet these policy challenges to allow our industry to grow.”

The InvestorForum’s plenary and panel sessions build upon business and financial issues facing the biotechnology community and are designed to provide attendees with business solutions and up-to-date information on industry trends.

In the opening plenary, titled, “Picking Your Financing Pathway – The Right Model at the Right Time,” finance experts considered emerging methods of supporting a company during challenging financial environments. Moderator James Sabry, president and CEO of Cytokinetics Inc., kicked-off the panel discussion Tuesday morning by noting that in the current market environment, “retaining multiple financing strategies is of utmost importance.”

In agreement with Sabry’s statement, Deepa Pakianathan, panelist and general partner, Delphi Ventures, added, “I believe we are in a cycle in which you must take advantage of partnering and M&A opportunities -- we’ve seen that there are advantages to not selling your company. I always advise companies to take advantage of the environment, but be sure you can live with the consequences of your actions.”

Engaging in a discussion concerning various challenges facing the industry, Farah Champsi, panelist and managing director, AltaPartners and Alta BioPharma, said the biotechnology industry is a “tenacious, creative industry that will find a way to survive.” Others indicated that negative pressure on the industry may ease upon confirmation of an FDA commissioner.

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“I think the pending confirmation of Dr. Andrew von Eschenbach will seal the fate of taking the negative [perception] off the table,” said Kurt von Emster, general partner, MPM Capital.

Among emerging finance solutions, the industry is witnessing growth in venture philanthropy, which prompted BIO to add a new panel to this year’s line-up -- “How Non-Profits Can Fund Biotech Companies and Evaluate the Science for VCs.”

Panelist Diana Wetmore, vice president for Alliance Management, Cystic Fibrosis Foundation Therapeutics Inc., said, “The advocacy panel furthered the critical dialogue between non-profit patient organizations and the venture community. The panel was a valuable opportunity to explain how we achieve our purpose of lowering the risk barrier for companies and their backers to enter into the cystic fibrosis field and to demonstrate how investors can leverage their stake in companies with the right fit for this disease.”

During a wide-ranging discussion on the trends to watch in 2007 in the closing plenary, Ilan D. Zipkin Ph.D., partner, Prospect Venture Partners, commented on the recent robust mergers and acquisition activity.  “In the history of the biotechnology industry, the top six acquisitions of privately-held biotechnology companies by value have happened in the last 18 months,” Zipkin stated.

The BIO InvestorForum host sponsor was Rodman & Renshaw; co-hosts were Bank of America and Jefferies; supporting host sponsors were RBC Capital Markets, CIBC World Markets, and Pacific Growth; and the sponsors were Amgen, Aquilo Partners, BioWorld Today, BMO Capital Markets, Dorsey, Ernst & Young, Foley & Lardner LLP, HellerEhrman LLP, Johnson & Johnson, Knight, Latham & Watkins LLP, Merck, Pfizer, PR Newswire and VWR International.

About BIO

BIO represents more than 1,100 biotechnology companies, academic institutions, state biotechnology centers and related organizations across the United States and 31 other nations. BIO members are involved in the research and development of healthcare, agricultural, industrial and environmental biotechnology products.  www.bio.org

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