Swiss biotechs saw record-breaking revenue and R&D investment in 2021, which the industry hopes will lead people to look beyond homegrown giants like Roche and Novartis.
The new findings, outlined by the Swiss Biotech Association in its latest annual report released Tuesday, underscored the recent success the sector has had, particularly in 2021. Among the report’s findings, revenue for Swiss biotechs hit $6.8 billion, overshooting 2020’s total of $5 billion.
The nation’s biotech industry also reported a 9.5% increase in R&D jobs, a record-high of $2.71 billion in R&D investments and more than $3.5 billion in capital investments. The vast majority of this capital was channeled to indications like immuno-oncology and neurology as well as emerging fields such as the microbiome and cell-based regeneration, the report’s authors pointed out.
Swiss biotechs recorded more than $3.3 billion in financing, $2.6 billion of which came from IPOs. Idorsia ranked as the top public fundraiser, followed by Bachem, Sophia Genetics and CRISPR Therapeutics. In total, five Swiss biotechs made up nearly 75% of the public IPO fundraising. Meanwhile, private biotechs raked in more than $800 million in funding, a quarter of which was raised by two companies, Anaveon and Numab Therapeutics.
Industry leaders hope these figures convey the attractiveness of the country’s biotech sector beyond the largest global players like Roche, the second biggest pharma company in the world by market cap.
“We always need to emphasize in Switzerland this report is not about Novartis, not about Roche, it’s not about the big multinationals in general, most of which are active in Switzerland,” Swiss Biotech Association CEO Michael Altorfer told Fierce Biotech. “It’s really the external innovation hub outside of the multinationals that we are reporting about.”
One of Switzerland’s major benefits is the country’s small size, Altorfer noted. This allows all biotech stakeholders, from development to manufacturing, to stay within reach—something that larger nations can struggle with.
“This proximity of having all the stakeholders and all the actors in just an hour’s drive away is really a big advantage to start with,” he said.
Still, some regions have stood out. Companies in the Basel area, for example, have touted significant growth over the last two years in both private and public financing. Zurich also saw a sharp rise in private money last year, the report’s authors noted. Most importantly, Swiss leaders hope that foreign companies and investors view the nation as an innovation hub.
“I think we really have … an industry that is devoted to work for the world,” said Altorfer. “We don’t work for the Swiss market.