- Australia’s biotech industry is ranked fifth in the world, with numerous research organisations located across three main hubs in Melbourne, Sydney and Brisbane.
- There are around 100 biotech companies listed on the ASX with a total market capitalisation of over $93.74 billion. It is the largest listed biotechnology sector as a proportion of GDP in the world.
- Market leaders in the sector include CSL, Resmed and Cochlear.
- In 2016, the Australian biotech industry attracted deals totalling more than $2 billion and $1.1 billion in capital raisings.
- The industry has developed a code of best practice for reporting in conjunction with the ASX, giving investors confidence in reporting, much the same as the JORC Code for mining companies.
- With the end of the mining boom and decline of traditional manufacturing in Australia, there is now a greater focus on the life sciences sector as a significant economic contributor.
- The Federal Government’s National Innovation and Science Agenda includes a $250+ million Biomedical Translation Fund to provide targeted support to technologies in mid to late stage development.
- Due to the relative lack of local early stage funding for pre-clinical or early stage projects, there continues to be a flow of these projects going to the US for funding.
- Conversely, due to the minimum size required to list on NASDAQ, we still see smaller US companies coming to Australia to list on ASX.
Hive Legal’s work in this sector
- Assisted biotech company AdAlta Limited on its oversubscribed AU$10 million IPO and listing on the ASX, to provide funds to take their lead drug candidate to Phase 1 human clinical trials.
- Assisting Nexvet Biopharma as Australian counsel in its takeover by Zoetis, including obtaining relief from ASIC to enable the participation of Australian shareholders in the takeover.
- Assisted CSL Limited in acquiring the global rights to manufacture and commercialise RAPIVAB – an approved influenza treatment.
- Engaged by a number of public and private biotech companies on IPOs, capital raisings, redomiciles, restructures and commercial contracts and compliance matters.
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