Biotech has to adjust to a dry spell in terms of financing

Frankfurt The collapse of the Silicon Valley Bank (SVB) and the unrest in the European banking sector are having an indirect impact on the biotech scene. Industry experts assume that the crisis surrounding the US financial institution will additionally burden the already difficult financing climate for German and European companies in this area.

Experts expect that financing will become more difficult, especially for start-ups and projects in the early stages of research. And the dry spell could last well beyond 2023. “The fuss surrounding the SVB is creating additional uncertainty among investors,” explains industry expert Patrick Kuettner from the international management consultancy ClearView Healthcare Partners. This mainly looks after companies and investors in the biotech sector. The basic framework conditions and long-term perspectives of the industry are considered to be intact.