Key Takeaways
- • Biocon Executive Chairperson Kiran Mazumdar-Shaw said India has stated its intent to move from generic drugs to innovative drugs, speaking at the Bloomberg New Economy Forum, according to ANI News.
- • Mazumdar-Shaw cited government initiatives to fund drug innovation, including the RDI, BioShakti and PRIP schemes, which she said commit government to providing early-stage, risk and seed capital.
- • Mazumdar-Shaw argued that follow-on venture capital is missing because venture funds need an earlier exit strategy before they will invest in biotech.
Summary
Biocon Executive Chairperson Kiran Mazumdar-Shaw said India has made a clear policy statement that it wants to shift from generic drug manufacturing to innovative drug development. Speaking at the Bloomberg New Economy Forum, as reported by ANI News, she said the government has declared a number of funding initiatives for drug innovation, naming the RDI, BioShakti and PRIP schemes among them.
According to Mazumdar-Shaw, the government has committed to providing early-stage capital, including risk capital and seed capital. She said this support should help a large number of innovative companies and startups begin pursuing new research and development programs.
Her remarks identified a gap beyond the earliest funding stages. Mazumdar-Shaw said the sector now needs follow-on capital from venture funds, but that venture investors need an exit strategy much sooner than current market conditions allow. She said this timing constraint is the reason venture funds are not yet providing follow-on financing to biotech companies.
The remarks were brief excerpts from a forum appearance, and the source material does not include specific funding amounts, scheme sizes or timelines for the initiatives she referenced.
According to Mazumdar-Shaw, the government has committed to providing early-stage capital, including risk capital and seed capital. She said this support should help a large number of innovative companies and startups begin pursuing new research and development programs.
Her remarks identified a gap beyond the earliest funding stages. Mazumdar-Shaw said the sector now needs follow-on capital from venture funds, but that venture investors need an exit strategy much sooner than current market conditions allow. She said this timing constraint is the reason venture funds are not yet providing follow-on financing to biotech companies.
The remarks were brief excerpts from a forum appearance, and the source material does not include specific funding amounts, scheme sizes or timelines for the initiatives she referenced.
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