Biotech Startups - Top 5 Biotech Startups-getinstartup

Hello Viewers! Ever heard of the term “Biotech Startups”? I guess it sounds very strange to you, but not so strange anymore. As we are going to discuss, this topic in today’s article. I guess this topic is new for many of you, but don’t worry, be with us till the end of the article and it won’t be new to you anymore. So, without further ado, let us start with our article on “Biotech Startups – Top 5 Biotech Startups”.

Introduction to Biotech Startups

The biotech startup is a sector that makes use of living organisms such as bacteria or their products, like enzymes, to create drugs, but not limited to. Most of the profit in biotech is in pharmaceuticals, medical devices, and diagnostics, but many advances are also being made to develop biofuels, biomaterials, resilient crops, and pollution controls.

Karl Ereky coined the term “Biotechnology” to describe the combination of biology and technology. Many companies, as well as research institutions, have realized Ereky’s vision that are creating biotechnology products every now and then. Roche, a biotech company founded in the year 1896. This company is the largest biotech company in the world, having 17 biopharmaceuticals on the market.

Overview of Biotech Startups

Every year, new startups in biotech/biotechnology mark their debut. Biotech startups are a high-risk venture and are quite different from typical tech startups.

A product can be launched by a typical tech startup within months. A biotech company often requires many years of thorough research and lots of cash-burning before launching its first product in the market.

The new startups in this sector include pharmaceutical companies, equipment firms that provide services in research labs, and scientists. The prime focus of these Biotech startups is to provide knowledge, develop new technology and products.

Working of Biotech Startups

Biotechnology is a highly interdisciplinary field that makes use of both biological sciences and engineering technologies to manipulate living organisms and biological systems, it also produces products that advance healthcare, medicine, agriculture, food, pharmaceuticals, and environmental control.

Biotechnology can usually be classified into two main categories: R&D in Biological Sciences and Industrial Processes. The biological sciences aspects comprise of research and development in areas like Microbiology, Cell biology, Genetics, Molecular Biology, etc. for understanding the cause and treatment of diseases, development in the field of agriculture, food production, conservation of the environment, and many more.

Research in Biotech Startups

Most of the Research and Development work in biotech startups is executed in the laboratory. The industrial processes aspect deals with the production of drugs, vaccines, biofuels, and pharmaceuticals on an industrial scale.

Making use of biochemical processes and techniques. Some of the notable innovations and developments that have emerged from Biotech startups and allied fields are genomic sequencing technology, natural replacements of pesticides, innovation of biofuels, and progress in stem cell technology.

The Market Size of Biotech Startups

The global biotech startup market size was estimated to be USD 752.88 billion in 2020, and the expansion at a compound annual growth rate(CAGR) of 15.83% is expected from 2021 to 2028.

Favorable government initiatives drive the market, owing to the growth of the biotechnology sector in developing countries, such as India and China. Government initiatives are more oriented towards modernizing the drug regulatory pathway, standardizing clinical studies, improving reimbursement policies, and speeding up the product approval process. And hence offering high lucrative growth opportunities to the market.

Also, in 2019, small molecules used to dominate the pharmaceutical compounds pipeline with almost 22 U.S. The Food and Drug Administration approvals as compared to eight large molecules (biotech). Around 25 percent of the drugs are biotech derived, which can be attributed to the growing demand for orphan drugs and personalized medicine. This is leading to the influx of growing and innovative biotech startups. Contributing to a boost in the market revenue.

Top 5 Biotech Startups

1. Novo Nordisk A/S (NVO)

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Revenue (TTM): $18.3 billion

Net Income (TTM): $5.8 billion

Market Cap: $118.6 billion

1-Year Trailing Total Return: 0.5%

Exchange: New York Stock Exchange

2. Regeneron Pharmaceuticals Inc. (REGN)

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Revenue (TTM): $7.9 billion

Net Income (TTM): $2.1 billion

Market Cap: $49.5 billion

1-Year Trailing Total Return: 14.7%

Exchange: Nasdaq

3. Alexion Pharmaceuticals Inc. (ALXN)

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Revenue (TTM): $5.0 billion

Net Income (TTM): $2.4 billion

Market Cap: $19.0 billion

1-Year Trailing Total Return: -34.1%

Exchange: Nasdaq

4. Vertex Pharmaceuticals Inc. (VRTX)

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Revenue (TTM): $4.2 billion

Net Income (TTM): $1.2 billion

Market Cap: $57.9 billion

1-Year Trailing Total Return: 22.9%

Exchange: Nasdaq

5. Jazz Pharmaceuticals PLC (JAZZ)

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Revenue (TTM): $2.2 billion

Net Income (TTM): $0.5 billion

Market Cap: $5.4 billion

1-Year Trailing Total Return: -30.0%

Exchange: Nasdaq

Well, These are the top 5 Biotech Startups which are listed above.

Conclusion

Different fields in biological science have been revolutionized by biotech startups, whether it is pharmaceutical, agriculture, health, or food. Biotech Startups have proved to be a very promising field with new inventions taking place every minute all around the world, attracting many young minds to shape their career in this field as well as boost their bank balance.

I hope you love my article on “Biotech Startups – Top 5 Biotech Startups”. If you find it insightful, then do offer us feedback.

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