Biopharma Venture Investment Through Q3 2023

by Dec 1, 2023Analysis, Funding

Biopharma venture investment totals rebounded in Q3 2023, nearing 2020 quarterly levels. The number of rounds, especially for seed and Series A, are still depressed as we are seeing investors re-investing in later rounds of portfolio companies rather than new investments. Generate Biomedicines secured a remarkable $273 million Series C leveraging its innovative ML platform for generative biology. Concurrently, Apollo Therapeutics, with its unique hub-and-spoke approach, concluded its Series C, amassing $226.5 million to further its mission into impactful medications.

Nimbus Therapeutics successfully wrapped a private financing round, securing $210 million for advancements in small molecules. Cellares, a pioneer in large-scale cell therapy through its Integrated Development & Manufacturing Organization (IDMO), also secured a substantial $255 million in Series C. Lastly, ADARx Pharmaceuticals, focused on RNA therapeutics, pulled in $200 million in Series C financing for accelerating clinical programs for ADX-324 and ADX-038, addressing hereditary angioedema and complement-mediated diseases.

Venture Totals - Biopharma Therapeutics and Platforms - DealForma

Q3 2023 saw 92 funding rounds, collectively raising an impressive $5.5 billion. This surpasses the figures from the preceding quarter, where 93 rounds secured $4.8 billion. The positive trajectory is evident when comparing these recent quarters to the Q1 of 2023, during which only 77 rounds raised $3.7 billion.

 

Q3 Continued Upward – Biopharma Therapeutics vs. Life Sciences

Venture Totals - Healthcare and Life Sciences by Subsector ($B) - Biopharma Therapeutics & Platforms vs other life sciences - DealForma

So far in 2023, therapeutics and platforms have taken the lead in raising venture funding, securing $5.5 billion in Q3 2023, surpassing the $4.8 billion from the previous quarter, and the $3.7 billion from Q1. Other subsectors within life sciences show significant funding as well. In Q3, medtech, devices, digital health therapeutics, and wearables collectively raised $1.3 billion, while Q2 saw $2.0 billion, and Q1 recorded $1.2 billion.

Additionally, diagnostics, sequencing, omics, and research tools attracted $1.8 billion in Q3 2023, $1.7 billion in Q2, and $1.5 billion in Q1. Other healthcare/life sciences encompasses $2.2 billion in Q3, $2.0 billion in Q2, and $1.6 billion in Q1. Overall, the data for 2023 highlights a remarkable 823 rounds accumulating $29.5 billion.

 

2023 YTD Top Biopharma Therapy Areas

Top Therapeutic Area for Venture. Total Value, all venture rounds, YTD 2023 - DealForma

Cancer is leading again in the venture landscape with 102 rounds and an impressive total funding of $5.1 billion. This was followed by Ophthalmic, with 18 rounds securing $1,2 billion, while endocrine/metabolic treatments had 13 rounds amassing $1.2 billion. Neurologic and autoimmune diseases were also high up in the chart, with 20 and 14 rounds, respectively, raising over $1 billion and $953 million. Our data uncovers substantial investments in infectious (20 rounds, $354 million), cardiovascular & pulmonary (8 rounds each, $482 million and $472 million, respectively), and hematologic disorders (4 rounds, $364 million).

 

2023 YTD Top Biopharma Modalities and Technologies for Ventures

Top Biopharma Technologies for Venture. Total Value, All Venture Rounds, YTD 2023 - DealForma

 

For investment rounds by modality or technology, biologics, antibodies, DNA, RNA, proteins, and innovations led with an impressive 96 rounds, raising $4.8 billion. Following closely is the domain of small molecules, consisting of 87 rounds that amassed $4,375 million. Cell Therapy, with 33 rounds, secured $2,003 million, while Gene Therapy and Vectors, Immunotherapy, and Gene Editing/CRISPR technologies garnered $1,310 million (16 rounds), $1,233 million (21 rounds), and $368 million (9 rounds) respectively.

 

Biopharma’s Venture Rounds 2023 YTD

 

Generate Biomedicines Secures $273 Million in Series C Funding (September 2023)

Generate Biomedicines, a clinical-stage biotherapeutics company operating a machine-learning (ML) platform for generative biology, successfully closed a Series C financing, securing $273 million. The funding will be utilized to advance its extensive pipeline of 17 programs in preclinical and clinical development, spanning oncology, immunology, and infectious disease.

Apollo Therapeutics Completes $226.5 Million in Series C Financing (September 2023)

Apollo Therapeutics, a biopharmaceutical company with a hub-and-spoke approach to translating medical research into medications, concluded a Series C financing round with $226.5 million. Led by Patient Square Capital, the funds will support the ongoing clinical development and diverse therapeutic programs of the company.

Nimbus Therapeutics Concludes a $210 Million Private Financing (September 2023)

Nimbus Therapeutics, specializing in computational drug design, successfully concluded a $210 million private financing round. The funds will advance the development of technology-driven small molecule medicines, including clinical progress for NDI-101150 and initiatives targeting various diseases.

Cellares Secures $255 Million in Series C Financing for IDMO Smart Factory (August 2023)

Cellares, the Integrated Development and Manufacturing Organization (IDMO) for large-scale cell therapy, closed a Series-C financing round, raising $255 million. The funds will be used to launch a commercial-scale IDMO Smart Factory in Bridgewater, New Jersey, with advanced robotics and Industry 4.0 technologies capable of producing 40,000 cell therapy batches annually.

ADARx Pharmaceuticals Successfully Completes $200 Million Series C Financing (August 2023)

ADARx Pharmaceuticals, a biotechnology firm focusing on next-generation RNA therapeutics, closed an oversubscribed Series C financing round, raising $200 million. The funds will advance clinical programs, particularly ADX-324 and ADX-038, addressing hereditary angioedema and complement-mediated diseases.

 

21,598

Licensing Deals

22,217

Funding Rounds

4,216

M&A

35,278

Company Profiles

5,897

Other Deals

27,588

Drug Sales Figures

All of this by stage, disease indication, modality, target...

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