BGV's massive success, Assertifarma, originated from a Merck reorganization. The founding team, who were being let go, identified a shelved drug intended for inflammation and repurposed it for leukemia, negotiating the license amidst the corporate shuffle. This highlights the hidden opportunities within large pharma portfolios.
Assertifarma's pivotal US team, with crucial experience on a competitor's drug, was found by chance. BGV's founder was pitched by them at a conference but flipped the script and recruited them for his own project, proving the power of opportunistic networking and recognizing expertise on the fly.
Veteran VC Edward Van Wezel notes a dramatic shift in biotech financing. Seed rounds that were once a few million and Series A rounds around €15-20M have both increased by nearly a factor of five. This inflation has reshaped the investor landscape and the capital strategy required to build a successful biotech company.
Despite claims of interest in early-stage innovation, big pharma companies typically wait for significant de-risking before acquiring or partnering. BGV's founder observes that real interest usually materializes only after Phase 2A data, forcing venture-backed biotechs to carry assets further than acquirers' stated appetites suggest.
Europe generates scientific output and IP comparable to the US but fails to translate it into successful companies at the same rate. Key challenges include a lack of deep capital markets, a lower cultural risk appetite, and a smaller talent pool, pushing many promising European biotechs to seek funding and IPOs in the US.
The highly successful company Assertifarma was developed entirely in "stealth mode." This strategy allowed them to advance their drug and generate compelling clinical data without alerting the competitive landscape, maximizing impact by revealing results and the company's existence during M&A talks.