Take the cash

Like the housing market in the macro economy, the venture market is the last bastion of activity within biotech's economy. IPOs posted a goose egg in the third quarter and follow-ons were nearly non-existent - 3 deals raised $200.4 million. But sixty-four companies raised $913.1 million in private equity money in the third quarter, modestly below the $1.1 billion quarterly average since the bubble popped in March 2000 (see "Venture Deal Velocity").

Despite those impressive numbers, there's a general feeling that the venture market - like the housing market - is beginning to slow. That tenor colored the discussion of a venture panel at the Biotechnology Industry Organization's BioVenture Forum 2002 in San Francisco last week. ...