The bad news about the rapid rise in biotechnology company valuations? It will end eventually. The good news? While initial public offerings may no longer be an option for some pre-commercial companies to fund drug development, several venture capital investors recently raised new funds to back biotech startups and support follow-on financing rounds.
With huge drug price increases drumming up new plans from presidential candidates to control the cost of medicines, biopharma stock prices have taken a hit that's likely to prevent some biotech companies from executing previously planned IPOs. Fortunately, venture capital firms are waiting in the wings to fund companies that can't take their shares into the stock market at a favorable price
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