Gabor Garai habla del impacto de las dificultades del capital riesgo en las empresas de ciencias de la vida

Foley & Lardner LLP Partner Gabor Garai is quoted in the Pharmaceutical Technology article, “Money moves: How the biotech market is weathering inflationary storms,” discussing how the economic cool down could impact life science companies.

“VC funds face challenges in not making returns on their portfolios, which means they will have to hold onto them longer,” Garai said. “This will also make fundraising challenging and adversely impact peoples’ enthusiasm about life science companies, creating a vicious cycle.”

While there is the option of these companies going the SPAC route, Garai noted that eventually underperforming SPACS will be forgotten by investors. IPOs will not be an easy fundraising route either, as Garai explained that it will take time for the market to right itself.