A new report from Ernst & Young, a global leader in assurance, tax, transaction and advisory services, shows that Denmark ranks 3rd in Europe in terms of number of biotech products under development, writes Parallel Synergi. The number of drug candidates under development in Danish biotech companies shot up 25% from 2006 to 2007, compared with the European average of 9%.
And with 188 potential new products in the development pipeline, for diseases including HIV and cancer, Denmark is only headed in volume terms by Great Britain and Germany – both far bigger countries in size and population.
Benny Lynge Sørensen, who heads Ernst & Young's Danish Health Sciences group says there is a good deal of confidence in an otherwise risky market, where there is a long way from idea to product. The confidence is also present during a period with a global credit crisis.
"It is especially venture investors that show this confidence through continued investments. In our view, venture investors are so focused in their investments, that they focus more on the business potential in each investment that in more or less short-term market fluctuations due to e.g. credit crisis."
The Danish biotech industry collectively raised DKK 3.4bn (USD 650m) in capital in 2007, the fourth largest sum raised in Europe. Lisa Almén, senior consultant at Ernst & Young told Parallel Synergi:
"Denmark is performing amazingly well both in terms of the number of products in development and capital raised. It is highly impressive, when you consider the size of Denmark's population."
Lisa Almén sees a continuously bright future for Danish biotech, on account of the high percentage of new drug candidates being developed here. "The sale of candidate drugs generates cash to invest in new projects and start up even more companies," she says.