UK biotech financing June-August 2024
The BIA is pleased to report that the UK's innovative life sciences and biotech sector enjoyed its best quarter for investment since the pandemic. In practical terms, this means that the sector has already surpassed the total amount raised in 2023.
Martin Turner, Associate Director of Policy, Public Affairs and Investor Relations at the BIA, described this quarter as signalling 'a significant step forward for UK biotech.'
Increased investor interest and confidence in the industry was demonstrated by significant public financing and a step-up in venture capital funding driven by a handful of large deals.
After a sluggish start to the year, the sector saw a significant rise in VC funding, with £564 million raised compared to Q1’s £240 million. This 135% increase marks a stark improvement and is the highest quarterly haul since Q3 of 2021.
Public financing other than IPOs also showed a marked increase, with £577 million raised. However, the IPO market remained dormant, with no IPOs recorded in the first half of 2024. This highlights a cautious approach towards new market launch amidst the current economic climate.
In the second quarter of 2024, the UK biotech sector has demonstrated a clear path towards sustained growth, supported by large VC deals and significant public finance. Globally, the UK’s fundraising efforts remained competitive when compared to significant biotech hubs in the US and Europe.
