NEW YORK (September 16, 2010) – In a sign that investment in New York’s life science sector is rebounding after its worst venture investment year in over a decade, the New York Biotechnology Association (NYBA) announced today that in the second quarter of 2010, New York State life science companies reaped $28.7 million in venture capital investment. Additionally, universities, companies and research organizations garnered $157 million in US government funding during the same period. All told, for the first half of 2010, New York life sciences organizations have received over $336.6 million in private and government investment. The data, analyzed by NYBA, is based on results from the quarterly PricewaterhouseCoopers Money Tree Report and the National Institutes of Health.

By comparison, in 2009 New York companies received a total of only $53 million in venture capital for the entire year, the smallest amount in over a decade and just 28% of the $188 million received in the record-setting year of 2008.

“In the first half of 2010, we have already equaled the total number of VC deals done in 2009,” said Nathan Tinker, PhD, Executive Director of the New York Biotechnology Association. “We expect this growth trend to continue throughout the end of the year, with investors continuing to recognize the high value of the research and commercialization of life saving products being performed by New York’s biotechnology, medical device, diagnostics, and healthcare services companies.”

The $28.7 million in venture capital in the second quarter was distributed among six companies, three in New York City, and one each in Buffalo, Yonkers and Ithaca. Four of these are biotechnology companies and two are medical device companies. Since 2000, New York-based life science companies have received over $1.3 billion in venture capital investment.

 

Added Dr. Tinker, “as evidenced by the broad geographic distribution of these investments, life sciences is a statewide economic and scientific phenomenon. NYBA research shows that the bioscience industry has a $29 billion annual impact on New York State and is responsible for more than 130,000 jobs statewide. Historically, New York has ranked number 1 in the nation in total bioscience industry employment and number 3 in the nation in NIH funding. And nearly a quarter of all the clinical trials taking place in the United States are here in New York.”