Why Biotechs Need A Practical Approach To Going Public

By David Diamond

With the interest surrounding investment in the biotech field, many biotech companies are entering the public market significantly earlier than before. This is as true for companies funded by friends and family as it is for those that have venture capital backing.

If a biotech is looking to trade on major exchanges such as Nasdaq or the New York Stock Exchange (NYSE), it is important to understand that there are a variety of challenges that emerge based on the avenues taken to ensure the funding necessary to then enter the public markets. Biotechs, in particular, may want to be mindful of the ramifications of the avenue they choose.