Drawing on the breadth of EY’s biotechnology database, my colleagues and I have created the infographic to the left (click to expand) to tell the story of the 2013 US biotech IPO class in 10 charts. As detailed in my recent post on this topic, the US$3.6 billion raised in 2013 represents the second-highest total in the industry’s history — second only to the genomics bubble of 2000.
Of the 47 companies that debuted in 2013, 37 were therapeutics companies, 6 were diagnostics firms and the balance were companies focused on animal health, synthetic biology, medical food and research supplies.
Taking a deeper dive into the therapeutics companies, approximately one-third of the class of 2013 had a lead product focused in oncology, and the vast majority had a lead product in Phase II development, with only two companies having a marketed product and only one company with a lead asset in the pre-clinical stage. Fifteen companies had licensed their lead asset (some retaining US marketing rights) to a larger company, while many of those that retained full rights disclosed their intent to seek collaboration partners in the future to either help fund later-stage trials, marketing and distribution, or both.
The class of 2013 performed very well after going public. By year-end, they were collectively up 49% from their launch prices, and therapeutics companies outperformed diagnostics companies.
This is the second in a series of blog posts through which we will look back at several aspects of the 2013 IPO class, including the profile and performance of companies and the IPO process itself (such factors as the time, cost and extent of SEC review).