The New Normal
The New Normal
It is perhaps no surprise that an industry built on pushing the boundaries of science and technology would thrive in the face of a global catastrophe and deliver life-saving solutions in rapid and spectacular fashion. The world, and its markets, took notice. Everyone wanted in. Valuations soared to historic highs before entering a downturn in early 2021. But despite the slump, there is some comfort knowing that the same innovative spirit that helped biotech thrive while others faltered will also help it rebound, as it has done time and time again. In fact, in May 2022, McKinsey1 projected that the biotech market will undoubtedly become favorable once again if companies focus their talent and budget accordingly.
Small Companies Gain Ground Even before the frenzied growth unleashed by the pandemic, small to midsize biotechs had been gaining ground on their larger competitors, thanks in part to their nimbler adoption of new technologies, faster paced innovation, and partnerships with larger companies hoping to overcome internal stagnation and offset impending patent expirations.
Navigating The Biotech Investment Paradox | 2