Biotech Industry Market Capitalization Rose 25 Percent in 12-Month Period Ending June 1997.SAN FRANCISCO San Francisco (săn frănsĭs`kō), city (1990 pop. 723,959), coextensive with San Francisco co., W Calif., on the tip of a peninsula between the Pacific Ocean and San Francisco Bay, which are connected by the strait known as the Golden and NEW YORK--(BW HealthWire)--Sept. 19, 1997-- Industry Revenues Reached $16.5 Billion Over Same Period G. Steven Burrill of Burrill & Company announced today the results of the Ernst & Young biotechnology industry annual report "Biotech 1998: New Directions." According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. the report and Burrill & Company analysis, market capitalization Market Capitalization A measure of a public company's size. Market capitalization is the total dollar value of all outstanding shares. It's calculated by multiplying the number of shares times the current market price. This term is often referred to as market cap. of United States-based biotechnology firms rose to $110 billion, up 25 percent over the previous year's figure. Industry revenues increased 13 percent in the same period to $16.5 billion. Product sales reached $12.2 billion, up 13 percent. Steve Burrill, co-author of the report, presented the findings to industry experts at Health Expo in New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of . Genomics was a major driver of industry growth this year, both in numbers in numbered parts; as, a book published in numbers. See also: Number of companies and business platform, value and partnering. Perkin-Elmer Corp. acquired PerSeptive BioSystems for $360 million for the expansion of its gene identification and drug development platform. Cell Genesys acquired Somatix Therapy, Corp. for the development of its gene therapy technology for the treatment of cancer, central nervous system diseases and other disorders. Incyte Pharmaceuticals Inc., which partners with over a dozen major pharmaceutical companies, agreed to form diaDexus, a joint venture with SmithKline Beecham to build a genomics-based diagnostics company. "The enabling technologies toolbox, including new developments in combinatorial chemistry Combinatorial chemistry involves the rapid synthesis or the computer simulation of a large number of different but structurally related molecules. Introduction Synthesis of molecules in a combinatorial fashion can quickly lead to large numbers of molecules. , is allowing drug discovery to take a new tack. Targeted drug discovery and the design of therapeutics based on the molecular mechanisms of disease translates into future products that are more effective, produce fewer side effects Side effects Effects of a proposed project on other parts of the firm. and that have the potential for faster approval," stated Steve Burrill, CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Burrill & Company. Also reported, the European biotech sector made significant gains over previous years, demonstrating vitality throughout the entire industry. European market capitalization was $8 billion up 50 percent from $4 billion and revenues were reported at $2.1 billion up 17 percent from $1.8 billion. European investing in start-ups is also on the rise with an industry head count of 716 companies, up from 584 last year, reported Ernst & Young. Though biotechs have a record number of products in the clinic and over 100 therapeutics now on the market, the industry still experiences some negative setbacks, many occurring at the approval stage and directly impacting stock price and investor behavior. COR Therapeutics' stock dipped on the news of FDA FDA abbr. Food and Drug Administration FDA, n.pr See Food and Drug Administration. FDA, n.pr the abbreviation for the Food and Drug Administration. disapproval earlier in the year, but has since rebounded at the announcement of positive results from its PURSUIT trial. AutoImmune and Liposome liposome (lī`pəsōm', lĭp`ə–), microscopic, fluid-filled pouch whose walls are made of layers of phospholipids identical to the phospholipids that make up cell membranes. Company both saw a nearly 70 percent short-term drop in stock price as a result of insignificant compelling data or failed Phase III Noun 1. phase III - a large clinical trial of a treatment or drug that in phase I and phase II has been shown to be efficacious with tolerable side effects; after successful conclusion of these clinical trials it will receive formal approval from the FDA data. "Ultimately, the success of biotechs is directly tied to product approval, but as companies expand their pipeline of products and build a larger base, the industry as a whole will see less volatility at negative news and become more stable," added Burrill. Burrill & Company is a private merchant bank investing in and advising private and public life sciences companies. Burrill & Company, through its seasoned management team and board of scientific and business advisors, offers a unique blend of financial, managerial, scientific and operational experience to the sector. Burrill & Company's current portfolio includes over 20 major international pharmaceutical and life sciences companies. Burrill & Company co-sponsors The Biotech Meeting at Laguna Niguel (with Kleiner Perkins Caufield & Byers) and the International Life Sciences Partnering Conference (with Brobeck, Phleger & Harrison, Ernst & Young, Health Science Capital Partners and Vector Securities International). CONTACT: Burrill & Company or Burns McClellan, Inc. Colleen Villarroel Lisa Burns (415) 399-4355 (212) 213-0006 |
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