#BIOSPAIN2023Interview | "We aim to facilitate the growth of European companies and help them become global leaders"

R&D&I is at the core of the business model for companies in the biotechnological sector. The work of biotech companies is based on developing disruptive innovations with a high impact on both society and the planet. We are talking about companies that operate in markets characterized by high regulation and complexity, which is reflected in innovations characterized by long cycles, the need for significant investment volumes, and high risk.

The photograph we observe reveals a clear need in these terms for the biotechnological sector: dynamic investment ecosystems. The main reason is that the majority of biotech companies are SMEs and micro-SMEs that do not have products in the market, thus not generating resources to finance their activities. This is why external funding becomes crucial.

This complex scenario will be analyzed in the upcoming BIOSPAIN edition, which will take place in the city of Barcelona between September 26 and 28, where experts knowledgeable about the financing options available to biotech companies will share their insights. Among them is Euronext, the main stock market in Europe and Bronze Sponsor of BIOSPAIN 2023. We spoke with Susana de Antonio Horcajo, Head of Listing Spain.

AseBio. Euronext is the leading European market in biotechnology and the second-largest globally. How do you promote access to financing for biotech companies from Euronext?

Susana de Antonio. At Euronext, we pay special attention to the technology sector, particularly the Healthtech industry, as it is a capital-intensive sector with significant global growth potential.

We have a base of over 130 Healthtech companies listed on our markets (including 70 biotech, 50 medtech, and 10 nutraceuticals companies), which represents a highly relevant pool of comparable companies and an unparalleled investor base (with over 1,000 institutional investors from more than 40 countries). This facilitates access for new companies in the sector.

Moreover, to assist new companies in accessing the markets, we organize pre-IPO training programs like Techshare and IPOReady. These programs enable innovative companies with growth ambitions to understand the process of going public, providing an additional financing alternative for them.

Once companies are listed, they have recurrent and efficient access to funding through capital increases that can be quickly executed in the market. Additionally, they have the opportunity to join our Tech Leaders initiative, designed for leading companies in various technology segments listed on Euronext. This initiative grants them extra recognition and visibility. Some of the companies belonging to this group are Galapagos, Argenx, Hyloris, and Nyxoah.

Overall, our aim is to facilitate the growth of European companies and help them become global leaders.

AseBio. Beyond traditional sources of funding, what alternatives do biotech companies currently have?

Susana de Antonio. Depending on the development stage, the range extends beyond public funding and venture capital funds to capital markets. In the case of Euronext, we have companies at different stages of development (always at least in the clinical phase), although it is most common for biotech companies to be at least in Phase II with CE marking and a certain level of sales for medtech.

AseBio. What advantages does going public offer to biotech companies?

Susana de Antonio. Besides the capital the company can raise at the time of going public, once the companies are listed, they have recurrent and efficient access to financing through capital increases that can be quickly executed in the market. This is particularly relevant in the Healthtech sector, where companies often need new funds over an extended period of time.

AseBio. BIOSPAIN is a clear example of the positive evolution that the biotechnology sector has experienced in recent years. What do you expect from this event, which stands as an international benchmark?

Susana de Antonio. We hope to have the opportunity to interact with key players in the health sector, both at the Spanish and European levels, with the aim of establishing relationships and collaborations that support the ecosystem and facilitate the creation of global leaders.