In June 2023, biopharmas collectively raised $6.82 billion through 109 financing transactions. The amount raised is 32.95% more than last June’s $5.13 billion, and the number of transactions is up 26.74%, compared to 86 in June 2022. This echoes the 23.34% increase seen in financings in the first half of 2023 compared to last year.

Both the value and number of reported biopharma nonprofit deals has fallen significantly, being at the lowest amount in the past five years. Compared to the first five months of last year, the value of biopharma nonprofit deals has decreased by about 63%. Meanwhile, money raised via grants has fallen slightly, 6.11%, but is vastly less than the value and number seen in 2020.

Clinical data in the first five months of 2023 is remarkably consistent to last year. BioWorld reported on 1,449 drugs in phase I-III this year, compared to 1,452 in the same time period in 2022. Numbers are down 12.13% from 1,649 in 2021, but up from 2020’s 1,419 and 2019’s 1,173.

The first five months of the year showed a slight increase in U.S. FDA approvals, though numbers are down compared to the previous four years. Worldwide approvals are down 16.67% through May, but up 5.42% compared to the previous seven years’ average.

Biopharma deal values are continuing to track at a similar pace to last year, down only 0.31% compared to the first five months of 2022, while there have been 173 fewer deals. M&A values are at their lowest value in all years tracked by BioWorld (2016-2023).

Patent expirations, a shrinking IPO window and reduced capital availability amidst higher interest rates are just a few of the challenges faced by the biotech industry in the post-pandemic era, although the mid- to long-term industry outlook is still favorable. The 33rd edition of Ernst & Young’s Beyond Borders report describes these obstacles and more faced by biotech, as well as advice for companies for traversing “a complex path forward.”

Biopharma deal values are continuing to track at a similar pace to last year, down only 0.31% compared to the first five months of 2022, while there have been 173 fewer deals. M&A values are at their lowest value in all years tracked by BioWorld (2016-2023).

Biopharma financings are continuing a faster pace than last year, with $25.82 billion raised in the first five months of 2023, up 20.46% from $21.44 billion in the same time period last year. Value is down compared to 2021’s $59.29 billion and 2020’s $48.03 billion but it is more than 2019’s $23.21 billion from January to May.