REPORT PREDICTS STRONG BIOTECH MARKET IN 2005

The biotech market is expected to enjoy a strong 2005 driven by increased collaboration from large pharmaceutical firms, as well as developing trends in pharmacogenomics and theranostics, according to a research report published by life sciences merchant bank Burrill & Company.

The biotech industry's market capitalization rose roughly 16 percent in 2004, growing from $344 billion to $400 billion, according to Burrill & Company's Steven Burrill, who authored the report. Burrill said he expects the market to achieve bigger gains in 2005, as large drugmakers continue to turn to smaller biotechs for innovative products.

"With nearly $11 billion raised through various collaborations and licensing agreements in 2004, we're likely to see even more partnering in 2005 as big pharma struggles to fill the innovation gap and feed its starving pipelines," Burrill wrote.

Another trend that should spark more interest in the biotech field, said Burrill, is the increasing emphasis on pharmacogenomics and theranostics, which should gain even more ground in light of mounting drug safety concerns.