At this forum, Academician Zhang Dan, a foreign academician of the Russian Academy of Engineering, co-founder and co-chairman of Puxin Biotechnology, shared a keynote speech titled 'New Attempts to Obtain Investment in the New Environment'.
Academician Zhang Dan, Foreign Member of the Russian Academy of Engineering, Co-founder and Co-Chairman of Puxin Biotechnology
Currently, the capital environment is cooling down. Under rational returns, biopharmaceutical companies are facing a more competitive industry landscape. How to cope with uncertain risks and embrace a more certain future has become an important proposition. In this speech, Academician Zhang Dan shared valuable detailed explanations and insights on related topics.
Looking globally, due to factors such as the uncertainty of capital market valuations being realized by biotech companies, the overall investment pace in biomedicine is gradually slowing down, and investment decisions are becoming more cautious. In response to the current market atmosphere, Academician Zhang Dan proposed that the field of innovative drugs has entered a stage of difficulty. However, the basic logic of the market has not changed; people's demand for health is still increasing, and their beautiful expectations for quality of life always exist. The biomedicine field has broad market prospects and huge investment opportunities, which will remain a key track of focus for capital markets in the long run.
Secondly, new drug research and development is characterized by a long cycle, high costs, and high risks. From drug discovery to approval for market launch, the probability is about 0.01%, and only the clinical trial phase alone costs $650 million to $780 million. Faced with a high degree of uncertainty, the possibility of going global in overseas markets has been fully validated, and it may be an important path to revive the commercial value of innovative drugs. Academician Zhang Dan stated that we can understand the dynamic trends of regulatory approval policies in major countries and regions, study the full conditions for product launch in various countries, and identify differences between regulatory approval processes. By breaking through traditional processes and rules, we can obtain solutions to unmet needs and find possibilities for commercial success. In addition, Academician Zhang Dan pointed out that building a complete company team requires professionals who fully understand clinical registration and senior researchers who fully understand clinical design and execution. On this basis, BD personnel are engaged in financing.
Thirdly, Academician Zhang Dan believes that when conducting financing activities, companies need to deeply understand the true commercial value that venture capital institutions are looking for. Financing should not be based solely on the company's team and its own value. When an 'me too' product is combined with others', it can also create new investable assets. Financing is not only about financing a single team, a single company, or a single product; it is about integrating resources and reshaping the chain.
