PricewaterhouseCooper’s 2007q4 MoneyTree™ Report* showed nationwide investment in the Life Sciences (comprised of the biotechnology and medical device sectors) set a record pace, representing more than 31% of all venture capital invested.

• Regional biotechnology investment almost doubling from $301.8 million in 2005 to $566.8 million in 2007.
• Investment in the Life Science sector hit a peak in the region during the third quarter of 2007, when local venture firms poured $278.5 million in 30 area companies with almost 87% invested in biotechnology and life sciences due to a very large investment of $179.8 million in medical devices.

In 2007 the Total Venture Capital (VC) investment was:

• $29,405.7 million across all sectors in the U.S.
• $861.5 million in the Philadelphia Region.
• $566.8 million in the biotechnology and medical device industries in the Philadelphia Region, amounting to 6.2% of the U.S. total of $9,113.2 million.

From 2003 to 2007 Total VC investment in the Life Science sector in the Philadelphia Region was:

• Approximately $2,276 million
• The 4th highest amount of funding across the 18 regions tracked in the MoneyTree report
• Annual growth rate was 15.7%, compared to the U.S. growth rate of 15%

The average level of VC investment per deal in the Life Science sector in the Philadelphia region in 2007 was $14.5 million, well above the U.S. average of $10.6 million. This difference is due to the large absolute size and diversity of the Life Sciences sector here which provides many investment opportunities along the pharmaceutical development process.

Venture Capital's continued growth stands to reason, considering the concentration of major pharmaceutical manufacturers, R&D and biotechnology companies clustered in our region. As a result, more industry players of all sizes form strategic alliances that attract significant investment, create licensing and co-marketing agreements, exponential growth and long-term revenue streams.

What's more, organizations such as the Mid-Atlantic Capital Alliance, Pennsylvania Bio, BioNJ Inc., and Delaware BioScience Association bring together entrepreneurial, venture and private equity organizations to create greater opportunities for cross fertilization of ideas, events and technologies.

Venture Capital Firms in Greater Philadelphia
Check out the Venture Capital firms within the Greater Philadelphia region. Intimately familiar with the unique needs of life science companies, their insight and breadth of experience help in providing guidance, grants, start-up and seed funding for early stage technologies as well as the purchase of older products from large pharmaceutical companies.

For additional funding resources, check out our Life Science Resource Guide.

Need Introductions?
Select Greater Philadelphia can be of assistance in introducing you to more than 41 venture capital companies headquartered in our region. They have a wealth of experience in bringing therapeutics, medical devices, drug delivery systems and more, to market sooner.

Call Select Greater Philadelphia at 800.221.0774.

* PricewaterhouseCoopers National Venture Capital Association Money Tree Report uses data provided by Thompson Financial. It includes Full-Year and Q4 US results.