Our Investor Perception Survey 2017 highlighted key trends around M&A, Investors’ preferred investment profile and investment risk. Nigel Pitchford, CIO, Touchstone Innovations gives us a summary of Biotech and Money report findings.
For anyone who felt that attracting investment to the UK Life Sciences sector was already challenging, the Investor Perception Survey 2017 highlights the fact that there is still much to be done to excite investors and attract them to our sector. It is interesting to note the emphasis that the survey participants place on the quality of the management team and the ability of this team to communicate effectively. This might seem obvious, but it is concerning that nearly 90% of respondents believed that fewer than half of UK Biotech managers are effective Management teams believing their own hype and poor communication are key contributors to this finding.
This clearly has a significant impact in bringing investors to positive investment decisions. Investors look for effective communicators not only because it helps them to understand what the company has achieved, and what it’s prospects are, but because it is fundamental to leadership and therefore highly correlated to building successful companies – particularly where success depends on engaging effectively with staff, collaborators, regulators, partners and customers, in a globally competitive environment.
The good news is that the art of effective communication can be learned. More encouragingly, the survey also demonstrates that there are a wide variety of sources of capital available for investment into Life Sciences in the UK, which is good news for the sector as a whole.
Management teams should note though that the mandates of these investors are not all the same, and that it is important to try to align the interests of the capital invested with the ambitions of the company. The key challenge as an industry is to attract a broader cross-section of generalist investors into the sector. Better communication is clearly an aspect that can be improved upon. Building a stronger track record of success to rival that of our colleagues in the US will clearly be a factor as well.
Want to learn more about attracting investment to UK Life sciences sector? Purchase our Investor Perception Survey and get:
- The full 28 page report and analysis
- The complete raw data set from the research, fully searchable and customisable for your own analysis (provided as Excel or CSV file)
- A PDF synthesis and table of investor quotes and thoughts drawn from the in depth interviews and matched against key themes
Why purchase the report?
Gain access to a unique and powerful dataset of investor intelligence
See what sub-sectors and therapeutic areas are hot in the investor community
Understand where healthcare investors are allocating their resource and efforts in 2017
Learn what is truly motivating and driving healthcare investors in 2017
Understand what healthcare investors think makes a good, investable company and why
Still not convinced? Check out the report summary...