Financing biotechnology innovation in Brazil

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Financing biotechnology innovation in Brazil

• Eduardo Emrich Soares
• CEO President
• Buenos Aires, September 25, 2006

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Company Life Cycle
Risk
_

IPO
Sales
Private Equity
Cash flow
Founders Angels
Venture Capital
Seed capital
_

Company Value
Start-up
Expansion
Maturity
Seed
Time
RD Public
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Public funding for biotechnology in Brazil

• Historically only for research projects at
  universities and research centers
• Recently, new funding mechanisms to cooperations
  programs between universities and technology
  based companies
• INOVAR Program to promote new venture capital
  funds
• Grants from PIPE (Sao Paulo State) and PAPPE
  (national) to innovative projects
• Funding to specific areas, technologies or
  products of the Industrial, Tehcnological and
  Foreign Trade Policy (PITCE)
• The Technology Innovation Law
• Promote partnership arrangements to new products
  and processes

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Results of the Public policy
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Results of the Public policy
Nature Biotechnology 2004
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Private funding for biotechnology in Brazil
IPO not a reality by now
Partnership with pharmaceutical companies
starting nowadays
Success case of funding a biotech company in
Brazil
Seed capital new INOVAR program funds under
selection
Venture Capital established in the last 3 years
(INOVAR Program)
Product development companies
RD projects in cooperation
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Biominas Foundation who we are

• What is it?
• Non-profit private institution.
• When and by whom was founded?
• In 1990, by a group of biotech companies in Belo
  Horizonte/MG.
• What is our main objective?
• To support the creation of successfull
  biobusinesses in Brazil, thereby strengthening
  the biotech sector.

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Biominas Foundation what we do

• New Ventures Creation and Development
• Members of the Biominas Foundation team assist
  researchers and entrepreneurs in evaluating,
  planning and executing new business ideas.
• Business Incubation
• Infrastructure, technical and administrative
  services that support start-up companies.
• Seed Capital
• The Biominas Foundation makes seed capital
  investments in start-up companies and helps them
  raise capital from other sources including
  government grants and venture capital firms.

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Biominas Foundation location
Brasília
Belo Horizonte
São Paulo
Rio de Janeiro
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Incubated companies
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Investments
Technical cooperation BID e FUMIN Technology
Transfer Program PTT Seed money US 3.250.000
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Alvos acelerates the development of bioproducts
BioDiversa Brasil
new project in creation
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Thank you.