Spanish biotechs raise 228 million euros in private financing in 2023

  • During the AseBio Investor Day, held on May 15th in San Sebastián, AseBio has revealed data on private financing collected in the AseBio 2023 Report.
  • The AseBio 2023 Report, a leading publication in the Spanish biotechnology sector, will be presented on June 12th at the Rafael del Pino Foundation in Madrid.
  • In its fifth edition, the AseBio Investor Day 2024 has brought together nearly 280 attendees from over 180 entities from 19 countries, including 70 investors from more than 55 investment firms.

     
AseBio
Autoridades participantes en la inauguración del AseBio Investor Day 2024
San Sebastián
Financing

AseBio celebrated its fifth edition of the AseBio Investor Day on Wednesday, May 15th, at the Kursaal in San Sebastián (Donostia), with the support of the Provincial Council of Gipuzkoa and ICEX Spain Export and Investments. The main objective of this event is to promote access to financing by connecting major national and international investors specializing in life sciences with Spanish biotech companies. Ultimately, it aims to transform science conducted in Spain into innovations that reach society and generate impact.

In its fifth edition, the AseBio Investor Day 2024 brought together nearly 280 attendees from over 180 entities from 19 countries, including 70 investors from more than 55 investment firms. Near 300 one-to-one meetings were held during the event.

"The AseBio Investor Day is a unique platform that brings together entrepreneurs, investors, and industry leaders to share ideas and knowledge. It is an example of AseBio's commitment and that of other stakeholders to drive the growth of the Spanish biotech sector. I trust that many of the meetings taking place these days will result in investment rounds that accelerate the growth of our biotech companies," said AseBio President Rocío Arroyo.

As highlighted by the General Deputy of Gipuzkoa, Eider Mendoza, the biotech sector is "strategic" for the territory, a vision that has led to a "shared and sustained commitment over time" in favor of the biotech field, which is yielding results. "We have significant scientific and technological capabilities, with a modern public healthcare system in its care and research aspects, a very strong manufacturing and ICT sector, and a well-established ecosystem to support entrepreneurs. This potential has been strengthened in recent years, decisively, by internationally renowned companies that have invested in Gipuzkoa. Not forgetting the work we have been doing to consolidate an investment industry that strengthens the innovative and entrepreneurial ecosystem of Gipuzkoa, with results that are already promising," she emphasized, underlining that the Investor Day represents "an opportunity" to continue moving in that direction.

"Over the past decade, we have made a strong commitment to strengthen our identity as a city of Science and Knowledge," added the Mayor of Donostia/San Sebastián, Eneko Goia Laso. "Basque institutions have made decisions and allocated resources to strengthen our position as a region and city of reference in business and technological innovation. Today, we can proudly say that those decisions are bearing fruit," he celebrated, highlighting that "the percentage of investment in R&D in the city is 3.6% of GDP, above the average investment in Spain and Europe, and in line with the European regions with the highest investment in research."

Spanish biotechs raised 228 million euros in private financing in 2023

During this session, AseBio has provided early data on the financing of the biotech sector, which reached 228 million euros in private investment, representing a 37% increase compared to the total volume raised in 2022.

According to the figures released by Ion Arocena, General Director of AseBio (data from the AseBio Report 2023 to be published on June 12th), the average volume of transactions was 5.4 million euros. In 2020, there were four transactions exceeding 10 million euros; in 2021, five; in 2022, three; and in 2023, five. It is worth noting that the number of transactions has decreased to 42 compared to 2022.

Some of these transactions have been accompanied by the CDTI's INNVIERTE program, which committed almost 29 million euros in 2023. Since its launch in 2019, this co-investment instrument has committed a total of 101 million euros for 35 biotech companies.

Arocena highlighted that the biotech sector remains in the spotlight of international players, both corporations acquiring Spanish companies and international investors betting on disruptive innovations they develop. In this regard, the number of capital increases with the participation of international investors is close to 150 million euros in raised volume. A total of 10 companies have received support from investors from countries such as the United States, the United Kingdom, France, Norway, Sweden, Denmark, and Italy.

Biotech companies raise over 12 million euros through crowdfunding

A total of 11 companies, through 11 transactions, have raised 12.3 million euros through crowdfunding, mainly through the Fellow Funders platform and Capital Cell. These figures represent an increase compared to the previous year in terms of volume raised by 41%. It is worth noting that four companies (Pharmamel, IDP Pharma, Laminar Pharmaceuticals, and Oncostellae) have raised over one million euros through these platforms.

Acquisitions and Mergers: Market Expansion and Talent Search

The precision oncology company listed on BME Growth, Pangaea Oncology, acquired 100% of two companies: International Oncology Bureau and the Institute of Breast Cancer. Additionally, it acquired 75% of Pectus Respiratory Health, specialized in clinical trials in the field of pulmonology. With these acquisitions, Pangaea continues its strategy of adding the best talent from oncology professionals and expanding its range of therapies.

On the other hand, Biolan acquired 82% of DNA Data, a company dedicated to genetic diagnostics. In the summer of 2023, Natac and IFFE Biotech, a division of IFFE Futura listed on BME Growth, announced their merger through a reverse merger operation. With this, they aim to become a Natac Natural Ingredientes. Later, in November 2023, under the name Natac Natural Ingredients, they began trading on the BME Growth market.

Evolution of venture capital funds specialized in biotechnology

In July 2023, Inveready successfully closed its new biotechnology fund, Inveready Biotech IV, with 52.85 million euros. Additionally, it signed an InvestEU framework guarantee agreement with the European Investment Fund to improve access to financing for medium-sized innovative technology SMEs with high growth potential. Inveready now has a 30 million euro InvestEU guarantee line to finance these companies through eligible debt on favorable terms.

Asabys Partners announced that the Institut Català de Finances (ICF), the public financial institution of Catalonia, entered its new venture capital fund, Sabadell Asabys Health Innovation Investments II (Sabadell Asabys II), with a participation of 10 million euros.

Clave Capital closed 50 million euros for its Clave Innohealth fund, to support innovative projects with high growth potential in biosanitary research organizations. The goal of this fund is to reach 80 million euros and has the commitment of CDTI's Innvierte program.

Since 2008, the total funds of fund managers investing in biotech companies Asabys Partners, Ysios Capital, Clave Capital, Invivo Capital Partners, Inveready, Columbus Venture Partners, CRB Inverbío, Aliath Bioventures, and Caixa Capital Risc amount to 1.230 billion euros.

"In many countries, there is a lack of qualified talent. However, Spain is very well positioned to attract biotechnological R&D projects, both due to the excellent quality of its researchers and its ability to attract international talent," said Alberto Sanz Serrano, Director of Financing and Investor Relations at ICEX - Invest in Spain.

"Another phenomenon to highlight is the creation of digital hubs. Major pharmaceutical companies have created some very important ones, and I believe it will be a growing phenomenon, even in smaller formats, for intensive biological research in data treatment and the use of artificial intelligence," Sanz concludes.

Contact information

Ángel Luis Jiménez
Communications Director
662 172 126
ajimenez@asebio.com

Carlos Sanz
Communication and Digital Contents Technician
csanz@asebio.com 

More information

AseBio brings together more than 300 entities and represents the Spanish biotechnology sector as a whole. Its mission is to lead the transformation of the country, positioning science, innovation and especially biotechnology as an engine of economic growth and social welfare. Its members include companies, associations, foundations, universities, technology and research centers that develop their activities directly or indirectly related to biotechnology in Spain. 

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