109 Investors from 20 Countries – October Mandate Roundup

6 Nov

By Lucy Parkinson, Senior Research Manager, LSN

lucy 10*10Last week, the LSN research team closed out the first month of the last quarter, tallying and analyzing the investor mandates gathered throughout October. Our researchers spoke with 109 deal-sourcing executives last month. As usual, these investors were highly diverse, hailing from 20 countries and representing 9 investor categories; 12 of the 109 were investors from family offices and private-wealth funds. (See Figure 1.)

Figure 1

Figure 1

LSN analysts continue to find that investors are showing slightly more interest in medical technology than biotech therapeutics and diagnostics. (See Figure 2.) However, most investors are open to funding a variety of life science companies, including those in the supplier and engineering sector (which includes software companies) and R&D service providers. Some are also open to biotech opportunities we class as ”Other,” which includes industrial biotech and agricultural biotech start-ups.

Figure 2

Figure 2

What stage of product development must a company be in to attract these investors? Of the therapeutics investors we interviewed, the greatest number are interested in products that have entered Phase I trials, but many will consider drugs that are earlier or later in the pipeline. (See Figure 3.)

Figure 3

Figure 3

The results were similar for medical devices: most investors are interested in products that have entered the clinical phase. However, we also spoke with many investors interested in devices that have already received FDA approval and are now on the market; many medtech investors see opportunities for devices that have already been proven scientifically and now require capital to build market share. (See Figure 4.)

Figure 4

Figure 4

Finally, where are these investors looking to invest? We found that more than a quarter of the investors we spoke with are willing to invest anywhere in the world. (See Figure 5.) The rest are focusing on one or more specific regions, with the U.S. and Western Europe being the most popular, unsurprisingly. Our researcher at our new office in Thailand, however, reached a number of investors with a specific focus on life science opportunities in Asia or Oceania.

Figure 5

Figure 5

Month after month, LSN researchers connect with a diverse group of investors who are interested in funding life science research, technology, and products. These investors differ greatly in terms of strategy and risk profiles, but all have an appetite for new technologies in the biotech and medtech sectors. If you’re a fit for a firm’s mandate, they may be the right partner to move your company toward commercial success.

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