Biomarkers for VC investment

While a new analysis reinforces the common wisdom that chronic diseases have become a no fly zone for venture investors, at least two VCs say the development of more validated biomarkers to predict efficacy could begin to change that picture.

Last week, the Biotechnology Industry Organization (BIO) published a report on trends in U.S. VC financing in 2004-13. The analysis found that $29.6 billion (78%) of funding went to companies developing novel molecules, defined as a new molecular entity (NME) with no prior regulatory approval. However, between the first five year period (2004-08) and the second (2009-13), there was a downward trend in funding for novel drugs in a variety of chronic diseases. ...