Private Equity Solutions

The Good, Bad, Ugly of Midwest Biotech in 2003

Private Equity Fund Of Funds By Michael Rosen • 01/06/04 The Good

Furthermore, the article fails to note that farmers in the Midwest are actually spraying as much pesticide as they did before they began planting biotech corn. Scientists from Iowa and Cornell universities concluded in published studies this June that "the use of transgenic corn will not significantly reduce insecticide use in most of the corn growing areas of the Midwest." The only threat that has been diminished by the Environmental Protection Agency' register biotech corn has been the threat to Monsanto's corporate profits.

Curve Equity Exposed Fund Lets start with the good in Midwest biotech in 2003. Whats clearly striking is the outstanding performance of the publicly traded Midwest biotech companies as measured by the ePrairie Midwest Biotech Index, which evaluates the top 20 biotech stocks of the region.

The amount of debt versus underlying asset value. This leads to the term "Leveraged Buy Out" (LBO) where debt is used to buy a company. This strategy is popular with Private Equity houses, splitting commentators into two separate camps. Supporters believe it forces the object of the LBO to behave more efficiently to pay off its debt, thus maximising investor value. sayers believe it is capitalism at its worst leading to asset stripping, like heads of the Private Equity houses.

Equity Income Funds Last week, I commented on the stellar performance of the Nasdaq and Amex Biotech indices, which grew 45 percent last year and actually ticked up even more in the last trading days of the year. Still, they did lag behind the hot Nasdaq Composite, which had 49 percent growth.

Worried about bad credit LoanWeb offers bad credit home equity loans. If you need a home equity loan but have bad credit, try LoanWeb. We do our best to get you a bad credit home equity loan.

Capital Casebook Equity The ePrairie Midwest Biotech Index more than doubled this growth with a burning-hot increase of 95 percent. Of the 20 stocks in the index, only three lost value during 2003.

FF&P Private Equity provides its clients with the opportunity to invest in the equity of high growth, unquoted companies whose objective is to generate attractive returns through the subsequent listing, or trade sale, of these companies. FF&P Private Equity invests typically â5 million to â25 million of equity per transaction and places particular emphasis on backing commercial managers with a track record in successful execution of business plans and enhancing shareholder value. //www.ffandp. equity.

Private Investment In Public In order to measure just how good 2003 was to our Midwest public biotech stock, lets look at two parameters: stock price growth and market cap increase. The leaders in the first category were:

Short Description Named "one of the ten best business books of 2003" ("BusinessWeek"), this national bestseller is updated with new material on the amazing rise and scandalous fall of Enron. page photo insert. A Winning System in Good Times or Bad, A Winning System in Good Times or Bad, 3rd Edition

Equity Mutual Funds The leaders in market cap increase were:

Birmingham Contact Equity In total, the 20 or so companies comprising the ePrairie Midwest Biotech Index increased their combined market valuation by $4.1 billion during 2003 to a level of $8.3 billion. The Midwest biotech group now has four companies with market caps in excess of $1 billion: MGI Pharma, KV Pharmaceuticals, Dade-Behring and Esperion Therapeutics.

Private Equity Investment Firm The Bad

Complying Deal Equity Funds Unfortunately, we will be losing some of our public companies in the Midwest:

Equity Msn Private Wyoming 1. As announced in December, Esperion Therapeutics will be acquired by Pfizer.
2. Cima Labs will be acquired by Cephalon.
3. DOR BioPharma moved its headquarters to Miami.

American Equity Investment The Ugly

Equity Index Funds Though at least seven biotech companies went public during the fourth quarter of 2003, none of them were from the Midwest. Furthermore, there were more IPOs filed but pulled during this time period due to the weak reaction from the financial community.

Equity Private Team Wyoming Of the almost $19 billion raised by the biotech community in the U.S. during 2003 (an excellent year), Midwest companies accounted for a small amount of this sum (some $300 million to $400 million, both private and public) or about 2 percent of total money raised.

Equity Group Investment Considering that at least 20 percent of biotech and life science companies are located in the eight-state Midwest region, this is a disparate amount of money raised in relationship to the number of companies and reflects the early stage of development of most Midwest companies and the small size of most (not all) VC biotech-related funds in the Midwest

Capital Development Equity Nevertheless, the amount of overall funding of the sector in the Midwest was very low and even lower at the VC level. Though a number of state initiatives for funding start-up biotech and life science companies were announced, very little of this money really trickled into company coffers.

Article Between Difference The star company in raising money during 2003 was MGI Pharma, which raised more than $150 million in its secondary round. This represents almost 40 percent of all money raised in the sector. Still, it is a new year with a clean slate and the market seems to be moving forward on solid ground. Hopefully, the rising tide financing effect will work its way down to even our smallest companies.

Contact Equity Private Wyoming The JPMorgan Chase H&Q 22nd Annual Healthcare conference will be held next week at the Westin St. Francis in San Francisco. This bell weather financial biotech meeting sets the stage for financing prospects at least during the first half of the year. It will be interesting to monitor daily progress of this several-day meeting to see if optimism or pessimism pervades both the financial and biotech audiences.

Agreement Equity Investment See you next week and happy new year!

Business Equity Funds
Michael S. Rosen is the vice chairman of human health at the Illinois Biotechnology Industry Organization (IBIO). He can be reached at rosenmichaels@aol.com. This article has been syndicated on the Wisconsin Technology Network courtesy of ePrairie, a user-driven business and technology news community distributed via the Web, the wireless Web and free daily e-mail newsletters. They can be found at www.eprairie.com.

Private Equity Fund *****
The opinions expressed herein or statements made in the above column are solely those of the author, & do not necessarily reflect the views of The Wisconsin Technology Network, LLC. (WTN). WTN, LLC accepts no legal liability or responsibility for any claims made or opinions expressed herein.

[ Comment, Edit or Article Submission ]