Nordic investment scene is moving
Copenhagen – Over the first months in 2007, there has been fresh momentum in the Nordic biotech investment scene. In particular, Denmark continues to attract large biotech investments and in Sweden and Finland the situation is also improving.
In Denmark, companies with mature products in their pipeline have seen high cash flow in June. Cancer company TopoTarget A/S, which already has one product on the market, completed its acquisition of Swiss company Apoxis SA and raised a48 million (DKK360 million) through the sale of 12 million shares in a public offering at the end of the month. One day before, Immunotherapy company Curalogic A/S, which has a phase III candidate in its pipeline, raised a sum of a41million through the sale of 18 million shares. On top of this, drug developers 7TM Pharma A/S completed a series D financing round led by GlaxoSmithKline’s venture fund SR One and raised a16,5 million (DKK123 million) at the beginning of June. Finally also in June, Exiqon A/S has been added to the Copenhagen Stock Exchange, raising a46 million through the offering of 8.6 million shares.
In June, change has also been afoot for Danish investors. Private equity company Dansk Kapitalanlaeg has sold its life science portfolio (including seven companies) to Omega Funds, and a new Danish VC player, Sunstone Capital A/S has been launched to accelerate development of Nordic early-stage Technology companies. In total, four funds with a commitment of a390 million have been announced. In a first closing, Sunstone Capital has raised a160 million from seven institutional investors. At the same time, the company has assumed 33 Life Science companies from Vaekstfonden, one of the largest Danish VC Players. These companies have been placed in two initial funds with invested capital of a120million and a follow-up commitment totalling a110 million.
New ideas are being put to test on the investors side in Finland
In comparison to Denmark, development in Sweden and Finland is less impressive but nevertheless also shows signs of improvement. In June, Swedish biotech company OxThera AB, developers of metabolic disorder treatment drugs, raised a16 million (SEK150 million) and has attracted new institutional and private investors. Additionally, listed antibody company BioInvest AB has said that it plans to raise a13 million (SEK125 million) with a direct offering of shares at the beginning of July.
New ideas are beeing put to the test on the investors side in Finland: Turku Science Park Ltd is now going to implement a new operational model that will ease investments in start-up companies. This is linked to a new partnership with Swedish Karolinska Institute Holding AB which has already collected a75 million (SEK700 million) for two funds as well as beginning acquisition for a third last summer.