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Venture Capital in Biotechnology

Matherne, G. Paul,...

Technical Note

Venture Capital in Biotechnology

Matherne, G. Paul; Herpfer, Christoph; Dow, Ethan

OM-1796 | Published December 5, 2023 | 8 pages Technical Note

Collection: Darden School of Business

Product Details

Pharmaceutical companies have historically relied on their ability to research, develop, manufacture, and sell drug products. Developing a successful drug is a complex and lengthy process, with no guarantee of success, and the total cost of approving a new drug is estimated at $2.5 billion, and rising. This technical note offers an overview of changes in the biotechnology industry related to drug development, focusing on M&A, the milestone model, and venture capital.

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