Click here to close now.

Welcome!

Web 2.0 Authors: AppDynamics Blog, Liz McMillan, Adrian Bridgwater, Carmen Gonzalez, Dana Gardner

News Feed Item

Zoetis IPO Caps Strong Month for Life Sciences Financings

Companies Capitalize on Investor Enthusiasm to Raise Cash, Says Burrill & Company

SAN FRANCISCO, CA -- (Marketwire) -- 02/01/13 -- Life sciences financing activity got a strong start in the new year as companies raised $10.3 billion in January. The Pfizer animal health unit Zoetis was responsible for more than half the activity through a debt offering and the largest IPO since Facebook debuted in May 2012. The robust activity dwarfed the $4.2 billion raised during the same period a year ago, according to Burrill & Company.

Companies raised more than $6 billion during the month through debt offerings. This included Zoetis' heavily oversubscribed $3.7 billion bond deal ahead of its IPO. It also included nearly $1.3 billion in debt offerings from nine smaller therapeutics companies, as well as nearly $700 million raised in two medical device company financings.

The Zoetis IPO priced at $26, above its expected $22 to $25 range. Three other companies, LipoScience, an in vitro diagnostic company; Stemline Therapeutics, which is developing therapies that target cancer stem cells; and KaloBios Pharmaceuticals, a developer of next-generation antibodies, raised a combined $153 million through initial public offerings. That compares to $135 million raised through IPOs on U.S. exchanges a year ago. Almost $1.6 billion was raised by follow-ons in January, tripling January 2012's total, and reflecting the improved environment for public therapeutics companies seeking to raise capital.

"Enthusiasm in the market for life sciences has picked up following a positive JPMorgan Healthcare Conference, a strong year of FDA approvals capped with a flurry of activity in December, and the impressive returns the sector provided in 2012," says G. Steven Burrill, CEO of Burrill & Company, a global financial services firm focused exclusively on the life sciences. "Though the activity is encouraging, capital continues to be expensive and difficult to access for many companies, particularly those that have not yet commercialized products."


BURILL INDICES
                                                        Month     Year
Index                          12/31/2012   1/31/2013   Change    Change
Burrill Select                     607.66      634.23      4.4%         4.4%
Burrill Large Cap                  736.90      759.90      3.1%         3.1%
Burrill Mid-Cap                    309.52      332.44      7.4%         7.4%
Burrill Small Cap                  105.99      119.39     12.6%        12.6%
Burrill Diagnostics                191.32      202.54      5.9%         5.9%
Burrill Personalized Medicine      119.22      127.48      6.9%         6.9%
Burrill Biogreentech               162.27      175.67      8.3%         8.3%
NASDAQ                            3019.51     3142.13      4.1%         4.1%
DJIA                             13104.14    13860.58      5.8%         5.8%
S&P 500                           1426.19     1498.11      5.0%         5.0%
Amex Biotech                      1547.03     1661.17      7.4%         7.4%
Amex Pharmaceutical                369.57      394.99      6.9%         6.9%

On the venture capital front, life sciences companies globally raised nearly $1.1 million in January, about the same as a year ago. That included the $294 million investment in Brazil-based GraalBio, which will use the funding to develop cellulosic ethanol technologies at its first commercial facility located in Alagoas, Brazil. The $709 million raised by U.S.-based companies in January, though, is down about 14 percent from activity a year ago.

Global M&A activity for January reached $4.5 billion, down 32 percent from a year ago. Botox-maker Allergan's $958 million acquisition of MAP Pharmaceuticals, its partner in developing the experimental orally-inhaled migraine drug Levadex, was the largest transaction for the month. The acquisition reflects an effort by Allergan to expand its offerings to neurologists and pain specialists. The U.S. Food and Drug Administration is expected to decide on whether it will approve Levadex in April.

Global partnering deals fell to $2.1 billion in January, a 56 percent decline from levels a year ago. Gilead Sciences' collaboration with MacroGenics -- worth up to $1.1 billion -- covers the development and commercialization of bi-specific antibodies directed at four undisclosed targets chosen by Gilead. The biotech's proprietary Dual Affinity Re-Targeting platform, or DART, can engineer antibodies that can target multiple antigens, an area of growing interest among drug developers as they seek to increase the efficacy of their therapies by hitting multiple targets at the same time.

"The low numbers for partnering activity extend a downturn seen in 2012 in part because of fewer financial terms being disclosed," says Burrill. "But it also reflects a shift among larger pharmaceutical companies focusing more of their attention to academic and non-profit research institutions as they look for discovery- and early-stage candidates."


Life Sciences Scorecard in USD M
                                                YTD        YTD
                                              1/31/13    1/31/12    Change
Global Venture Capital                           1,144      1,064       7.5%
U.S. VC                                            795        826      -3.8%

IPOs (4 in 2013 vs 3 in 2012)                    2,253        262     759.9%
U.S. IPOs (4 in 2013 vs 2 in 2012)               2,253        135    1568.9%

Global PIPEs                                       184        158      16.5%
U.S. PIPEs                                         101         72      40.3%

Global Follow-ons                                1,585        477     232.3%
U.S. Follow-ons                                  1,585        477     232.3%

Global Other Equity                                 54        338     -84.0%
U.S. Other Equity                                   45        323     -86.1%

Global Debt Offerings                            5,783      2,593     123.0%
U.S. Debt                                        4,968      2,201     125.7%

Global Other Debt                                  263        338     -22.2%
U.S. Other Debt                                    226        334     -32.3%

Total Global Public Financings                  10,122      4,166     143.0%
Total U.S. Public Financings                     9,178      3,542     159.1%

Global Partnering                                2,082      4,713     -55.8%
U.S. Partner/Licenser                            1,889      2,676     -29.4%

Global M&A                                       4,859      6,720     -27.7%
M&A, U.S. Target                                 2,482      5,765     -56.9%

The FDA in January approved a trio of new drug treatments for type 2 diabetes. All three drugs, Nesina, Kazano, and Oseni will be distributed by Takeda Pharmaceutical and include the new molecular entity alogliptin, developed through a partnership between Takeda and Furiex Pharmaceuticals. Alogliptin helps stimulate the release of insulin after a meal, which leads to better blood sugar control. Nesina tablets contain alogliptin alone, while Kazano combines alogliptin with the already-approved metformin hydrochloride and Oseni combines it with pioglitazone.

The agency also approved Kynamro, a new injectable cholesterol-lowering drug co-developed by Genzyme and Isis Pharmaceuticals, despite liver safety concerns. Kynamro, also known as mipomersen, is approved to treat people with homozygous familial hypercholesterolemia, an inherited condition that causes high levels of low-density lipoprotein cholesterol levels beginning at birth, and heart attacks at an early age. The approval comes about one month after Aegerion Pharmaceuticals won U.S. approval for Juxtapid, another medicine for the disorder that comes in pill form.

The European Commission announced the winners of its Future and Emerging Technologies Flagship Initiative, the largest single science competition to be held in Europe to date. Each will receive $1.36 billion (EUR 1 billion) over ten years. The Human Brain Project was named as one of the winners. It will create the world's largest experimental brain research facility and seeks to develop a detailed model of the human brain so researchers can study how it works and ultimately develop personalized treatments for neurological and related diseases.

The California Institute for Regenerative Medicine -- California's stem cell agency backed by a $3 billion ballot initiative -- said its board has adopted a framework of proposals that could "dramatically change some aspects of its work." The proposals are aimed at addressing criticism over potential conflicts of interest in the way the board decides how to allocate grants and come in response to a series of recommendations from the Institute of Medicine. The IOM made those recommendations as part of a report requested by the agency, which was seeking an independent assessment of its programs, operations, strategies, and performance.

"CIRM's funding is expected to last about four more years, but there are many who hope it will have a life that extends well beyond that period," says Burrill. "It's vital that it has credibility and the public's trust if it is to continue its mission far into the future."

About Burrill & Company
Founded in 1994, Burrill & Company is a diversified global financial services firm focused on the life sciences industry. With $1.5 billion in assets under management, the firm's businesses include venture capital/private equity, merchant banking, and media. By leveraging the scientific and business networks of its team, Burrill & Company has established unrivaled access and visibility in the life sciences industry. This unique combination of resources and capabilities enables the company to provide life sciences companies with capital, transactional support, management expertise, insight, market intelligence, and analysis through its investments, conferences, and publications. Headquartered in San Francisco, the company oversees a global network of offices throughout the United States, Latin America, Europe, and Asia. For more information visit: www.burrillandco.com.

Add to Digg Bookmark with del.icio.us Add to Newsvine

Contact:
Daniel Levine
Managing Director
Burrill & Company
Email Contact
415-591-5449

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
The true value of the Internet of Things (IoT) lies not just in the data, but through the services that protect the data, perform the analysis and present findings in a usable way. With many IoT elements rooted in traditional IT components, Big Data and IoT isn’t just a play for enterprise. In fact, the IoT presents SMBs with the prospect of launching entirely new activities and exploring innovative areas. CompTIA research identifies several areas where IoT is expected to have the greatest impact.
The 4th International Internet of @ThingsExpo, co-located with the 17th International Cloud Expo - to be held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA - announces that its Call for Papers is open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
The Industrial Internet revolution is now underway, enabled by connected machines and billions of devices that communicate and collaborate. The massive amounts of Big Data requiring real-time analysis is flooding legacy IT systems and giving way to cloud environments that can handle the unpredictable workloads. Yet many barriers remain until we can fully realize the opportunities and benefits from the convergence of machines and devices with Big Data and the cloud, including interoperability, data security and privacy.
The Internet of Things is tied together with a thin strand that is known as time. Coincidentally, at the core of nearly all data analytics is a timestamp. When working with time series data there are a few core principles that everyone should consider, especially across datasets where time is the common boundary. In his session at Internet of @ThingsExpo, Jim Scott, Director of Enterprise Strategy & Architecture at MapR Technologies, discussed single-value, geo-spatial, and log time series data. By focusing on enterprise applications and the data center, he will use OpenTSDB as an example t...
The Internet of Things is not only adding billions of sensors and billions of terabytes to the Internet. It is also forcing a fundamental change in the way we envision Information Technology. For the first time, more data is being created by devices at the edge of the Internet rather than from centralized systems. What does this mean for today's IT professional? In this Power Panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists will addresses this very serious issue of profound change in the industry.
Scott Jenson leads a project called The Physical Web within the Chrome team at Google. Project members are working to take the scalability and openness of the web and use it to talk to the exponentially exploding range of smart devices. Nearly every company today working on the IoT comes up with the same basic solution: use my server and you'll be fine. But if we really believe there will be trillions of these devices, that just can't scale. We need a system that is open a scalable and by using the URL as a basic building block, we open this up and get the same resilience that the web enjoys.
We are reaching the end of the beginning with WebRTC, and real systems using this technology have begun to appear. One challenge that faces every WebRTC deployment (in some form or another) is identity management. For example, if you have an existing service – possibly built on a variety of different PaaS/SaaS offerings – and you want to add real-time communications you are faced with a challenge relating to user management, authentication, authorization, and validation. Service providers will want to use their existing identities, but these will have credentials already that are (hopefully) i...
All major researchers estimate there will be tens of billions devices - computers, smartphones, tablets, and sensors - connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades. With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo, June 9-11, 2015, at the Javits Center in New York City. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be
Container frameworks, such as Docker, provide a variety of benefits, including density of deployment across infrastructure, convenience for application developers to push updates with low operational hand-holding, and a fairly well-defined deployment workflow that can be orchestrated. Container frameworks also enable a DevOps approach to application development by cleanly separating concerns between operations and development teams. But running multi-container, multi-server apps with containers is very hard. You have to learn five new and different technologies and best practices (libswarm, sy...
SYS-CON Events announced today that DragonGlass, an enterprise search platform, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. After eleven years of designing and building custom applications, OpenCrowd has launched DragonGlass, a cloud-based platform that enables the development of search-based applications. These are a new breed of applications that utilize a search index as their backbone for data retrieval. They can easily adapt to new data sets and provide access to both structured and unstruc...
The Internet of Things is a misnomer. That implies that everything is on the Internet, and that simply should not be - especially for things that are blurring the line between medical devices that stimulate like a pacemaker and quantified self-sensors like a pedometer or pulse tracker. The mesh of things that we manage must be segmented into zones of trust for sensing data, transmitting data, receiving command and control administrative changes, and peer-to-peer mesh messaging. In his session at @ThingsExpo, Ryan Bagnulo, Solution Architect / Software Engineer at SOA Software, focused on desi...
An entirely new security model is needed for the Internet of Things, or is it? Can we save some old and tested controls for this new and different environment? In his session at @ThingsExpo, New York's at the Javits Center, Davi Ottenheimer, EMC Senior Director of Trust, reviewed hands-on lessons with IoT devices and reveal a new risk balance you might not expect. Davi Ottenheimer, EMC Senior Director of Trust, has more than nineteen years' experience managing global security operations and assessments, including a decade of leading incident response and digital forensics. He is co-author of t...
SYS-CON Events announced today that MetraTech, now part of Ericsson, has been named “Silver Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York, NY. Ericsson is the driving force behind the Networked Society- a world leader in communications infrastructure, software and services. Some 40% of the world’s mobile traffic runs through networks Ericsson has supplied, serving more than 2.5 billion subscribers.
While great strides have been made relative to the video aspects of remote collaboration, audio technology has basically stagnated. Typically all audio is mixed to a single monaural stream and emanates from a single point, such as a speakerphone or a speaker associated with a video monitor. This leads to confusion and lack of understanding among participants especially regarding who is actually speaking. Spatial teleconferencing introduces the concept of acoustic spatial separation between conference participants in three dimensional space. This has been shown to significantly improve comprehe...
Buzzword alert: Microservices and IoT at a DevOps conference? What could possibly go wrong? In this Power Panel at DevOps Summit, moderated by Jason Bloomberg, the leading expert on architecting agility for the enterprise and president of Intellyx, panelists will peel away the buzz and discuss the important architectural principles behind implementing IoT solutions for the enterprise. As remote IoT devices and sensors become increasingly intelligent, they become part of our distributed cloud environment, and we must architect and code accordingly. At the very least, you'll have no problem fil...
The Domain Name Service (DNS) is one of the most important components in networking infrastructure, enabling users and services to access applications by translating URLs (names) into IP addresses (numbers). Because every icon and URL and all embedded content on a website requires a DNS lookup loading complex sites necessitates hundreds of DNS queries. In addition, as more internet-enabled ‘Things' get connected, people will rely on DNS to name and find their fridges, toasters and toilets. According to a recent IDG Research Services Survey this rate of traffic will only grow. What's driving t...
Today’s enterprise is being driven by disruptive competitive and human capital requirements to provide enterprise application access through not only desktops, but also mobile devices. To retrofit existing programs across all these devices using traditional programming methods is very costly and time consuming – often prohibitively so. In his session at @ThingsExpo, Jesse Shiah, CEO, President, and Co-Founder of AgilePoint Inc., discussed how you can create applications that run on all mobile devices as well as laptops and desktops using a visual drag-and-drop application – and eForms-buildi...
The Internet of Things promises to transform businesses (and lives), but navigating the business and technical path to success can be difficult to understand. In his session at @ThingsExpo, Sean Lorenz, Technical Product Manager for Xively at LogMeIn, demonstrated how to approach creating broadly successful connected customer solutions using real world business transformation studies including New England BioLabs and more.
The recent trends like cloud computing, social, mobile and Internet of Things are forcing enterprises to modernize in order to compete in the competitive globalized markets. However, enterprises are approaching newer technologies with a more silo-ed way, gaining only sub optimal benefits. The Modern Enterprise model is presented as a newer way to think of enterprise IT, which takes a more holistic approach to embracing modern technologies.
Every day we read jaw-dropping stats on the explosion of data. We allocate significant resources to harness and better understand it. We build businesses around it. But we’ve only just begun. For big payoffs in Big Data, CIOs are turning to cognitive computing. Cognitive computing’s ability to securely extract insights, understand natural language, and get smarter each time it’s used is the next, logical step for Big Data.