Solid Performance and Products That Matter: Biotechnology on a Roll Heading into BIO 2004
The past year has brought 21 biotech drug approvals, including products for HIV and other infections, Alzheimer’s disease, psoriasis, cancer, schizophrenia, asthma and Gaucher’s disease. The approvals include the first anti-angiogenic cancer drug, which works by stifling the growth of blood vessels in tumors.
Agricultural biotechnology also has performed well, with acreage growing 15 percent, to 167 million acres in 18 countries in 2003. The majority of the 7 million farmers now planting biotech crops are in the developing world, where they are improving yields while reducing exposure to pesticides.
Industrial biotechnology, the industry’s “third wave,” is likewise growing, and in April touched a major milestone with the first shipment of biofuel — ethanol made from agricultural waste using biotech enzymes.
“Since our Washington, D.C., convention in June 2003, biotechnology has enjoyed a banner year across all sectors,” said BIO President Carl B. Feldbaum. “The past year has brought new biotech drugs to patients, expanding demand for biotech crops and technical breakthroughs in industrial biotech. We couldn’t ask for more positive momentum as we take the industry’s largest event back to the birthplace of biotechnology, San Francisco.”
A Look at the Numbers
The biotechnology industry’s recent momentum is reflected in Wall Street measures such as stock prices, financing and deal volume, all of which have been strong for the past 18 months:
• While major stock indexes have slipped this year, the Nasdaq Biotech Index has edged up about 6 percent (as of the June 2 close).
• Biotech financing through May 27 totaled $9.7 billion, up more than 250 percent vs. the comparable 2003 period, according to BioWorld.
• Investor support extends to biotech’s youngest firms. The life sciences became the number one destination for venture funding in the third quarter of 2002 and has remained on top ever since, according to the North American Venture Capital Association. In the first quarter of 2004, venture capitalists poured $1.3 billion into life sciences companies — $945 million of which went to biotechnology companies.
• Pharmaceutical firms are increasingly turning to biotech to fill their pipelines. In 2003, they launched more than 300 new deals with biotech companies, according to BioWorld. And the pace seems to be accelerating, with 132 deals in the first quarter — up 18 percent over the comparable period last year.
• In many cases, pharmaceutical and biotech companies are opting to buy entire biotech pipelines. Biotech merger and acquisition activity was up 86 percent in 2003 vs. 2002 and in the first quarter of this year jumped another 35 percent.
New Industry Data to Be Released at BIO 2004
A flood of additional data on industry performance and trends will be released and discussed at BIO 2004. Among the reports scheduled to be unveiled:
• Laboratories of Innovation: State Bioscience Initiatives 2004, an exhaustive survey of state initiatives to develop the life sciences. This report, compiled by the Battelle Memorial Institute in collaboration with BIO, will also include state-level data on biotech companies and employment. The report will be released at a press conference on Monday, June 7, at 11 a.m. in Room 303 of the Moscone South building.
• New Biotech Tools for Pollution Prevention, a groundbreaking report on the potential for energy savings and pollution prevention if biotechnology were adopted widely across a spectrum of industries. The report will be released at a press conference on Tuesday, June 8, at 3 p.m. in Room 303 of the Moscone South building.
• The Ernst & Young Global Biotechnology Reports, featuring updated worldwide and U.S. trends in biotechnology and comprehensive data on the industry, including revenues, R&D expenses, employment, private and public equity funding, and product approvals. The new data will be released and discussed Monday, June 7, at 2:15 in Room 2001 of the Moscone West building.
• The Finnegan Henderson New Biotechnology Innovation Report, presenting extensive data on patenting and patent litigation trends. The report will be released and discussed Monday, June 7, at 9:30 a.m. in Room 2001 of the Moscone West building.
BIO 2004 Media Registration Policy
For journalists who cover biotechnology, business or health, the BIO 2004 Annual International Convention is this year's best opportunity to learn about new trends and technologies, and to meet the leaders who will shape biotechnology for years to come. For broadcast media, the convention offers a fully equipped and staffed BIO TV studio, ample interview opportunities and colorful exhibit floor backdrops.
Registration is complimentary for credentialed news media. Only reporters and editors working full-time for print or broadcast news organizations may register on site with valid media credentials (business cards are not acceptable).
About BIO
BIO represents more than 1,000 biotechnology companies, academic institutions, state biotechnology centers and related organizations in all 50 U.S. states and 33 other nations. BIO members are involved in the research and development of health-care, agricultural, industrial and environmental biotechnology products.