As the money keeps rolling in, 2020 is certainly a year for the biopharma record books. With a total of $81.26 billion raised through Aug. 6, it is a standout year in every type of financing, hitting all kinds of record highs.
Out of 922 biopharma financings so far in 2020, nearly a quarter of them – 211 – were done by companies working on a COVID-19 therapeutic or vaccine. More strikingly, however, the $27.8 billion raised by those pandemic-focused firms represents about 40% of the $71.8 billion total collected through the end of July. That amount is the highest BioWorld has ever tracked.
The biopharmaceutical sector welcomed a further 11 new IPO graduates in July, bringing the number to 39 that have started to trade on the U.S. markets this year. The companies going public last month collectively raised more than $2.5 billion and most of them made a favorable impression following their first day of trading, with the group increasing their share values by an average of 16%.
The share prices of blue-chip biopharmaceutical companies continued on their lackluster trajectory, which started in June and collectively lost ground last month, with the BioWorld Biopharmaceutical index slipping about 1.3% as investors took a break in order to digest the deluge of COVID-19 vaccine data released during the period and the impact on the bottom lines that the pandemic has exerted among those companies that have reported their second-quarter results.