What Happened At BioPharm America 2014?

What Happened At BioPharm America 2014

September 24, 2014

By Krystle Vermes, BioSpace.com Breaking News Staff

The biotechnology industry is booming, and investors are turning to these companies with the notion that there is a bright future ahead, but what is all the fanfare about? More importantly, will the excitement surrounding the biotech and biopharmaceutical industries be short-lived?

The seventh annual BioPharm America conference kicked off in Boston, Mass., on Sept. 22 and gave biotech and biopharmaceutical professionals a place to come together for the sake of life sciences. For three days, executives from around the world attended panel discussions and networking sessions, and their level of excitement toward the future of the industry was palpable.

Life Sciences: Prepare for Launch
There were approximately 7,970 active biotechnology firms in the U.S. as of 2013, according to the Organization for Economic Co-Operation and Development. By 2015, MarketResearch notes that the biotech industry will be worth $398 billion. If there was ever a time to be involved in this line of work, it’s now.

“It’s always been an exciting field,” said Peter Barrett, partner at Atlas Venture, during a panel discussion at BioPharm America. “How many people can say they work in a field that does social good? And if you do it well, you make money at it.”

What Happened At BioPharm America 2014? As biotechnology companies boom, investors are starting to take notice. Consider the case of Dicerna Pharmaceuticals , which soared 200 percent from its IPO price during its first day of trading in late January of this year. Look at the Standard and Poor’s biotechnology index, which has increased 13.6 percent since the beginning of 2014.

“We’re in the midst of a record setting year with IPOs with 16 companies having filed already in 2014,” noted Robert Coughlin, President and CEO of the Massachusetts Biotechnology Council, during the BioPharm America keynote address.

Buoyed by the industry's promising growth potential, investors are taking a keen eye to firms of all sizes, meaning even smaller companies are earning opportunities for funding.

“There’s always been a lot of innovation coming out of early technologies, but with the liquidity that has occurred within the last couple of years, a lot of firms have been able to raise funds,” said Brian Gallagher, partner at SR One, during a panel discussion at BioPharm America. “I think there is a lot more influx of capital into the system, which is good for everyone.”

Optimism for the Future
John Hallinan, Chief Business Officer of the Massachusetts Biotechnology Council, spoke to BioSpace about recent advancements in life sciences and how the potential for more breakthroughs is driving overall optimism and interest in the industry.

“We have gene therapy, it has returned to the forefront,” Hallinan told BioSpace. “Gilead is one example, releasing Sovaldi for hepatitis C. There’s a lot of promise and potential. I think people finally have come to understand that the life sciences—biotech, in particular—has a lot of potential.”

However, it’s not surprising to many that the biotechnology and biopharmaceutical industries are booming. With steady scientific advancements and growing interest in life sciences, this success is no coincidence.

“I think it’s part of the algorithm behind the investment,” Hallinan continued. “I think a lot of it is being driven by the fact that there is a lot of unmet medical need. I think that after the global economic meltdown, there was sort of a slowdown and re-calibration and now it’s come back. Partly, big data, healthcare IT, technology being applied to life sciences has led us into the next generation of drug development, targeted therapies, and there’s a lot of excitement around the space—not about developing only treatments, but cures.”

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