An industry group from Israel, Israeli Advanced Technology Industries (IATI) recently published a report on the state of the life science industry along with accounting consultancy PWC and the Israel Innovation Authority. Titled Israel’s Life Sciences Industry IATI Report 2019, the information tells of a robust, growing and increasingly integrated ecosystem—where biopharma, medtech, digital health and health care merge into a “single bioconvergent industry.” Israel’s life science sector relentlessly forges ahead with new startups seeking to solve pressing healthcare-related problems, including addressing unmet medical needs.
A Dynamic Place in the Middle of the World
Israel is a geographically small nation with a population of about 9 million—for comparison, Los Angeles County alone has more people. However, this eastern Mediterranean nation supports 1,600 life science companies employing nearly 85,000 people. A majority of these organizations are in the R&D stage (51%), however 547 firms (34%) are generating initial revenues; 64 firms (4%) are in revenue growth mode.
Life science firms appear to be distributed across the country with the largest concentration in Tel Aviv Jerusalem and Haifa. Firm by life science sub sector reveals the true diverse array in this dynamic country—medical device firms lead at 37% of the total followed by healthcare IT (19%) and biopharmaceutical firms (13%) of the total. Within their medical device sector a significant overlap with technology increasingly blends health device, hardware and software—making Israel a true center of digital health creations. Rising sectors, such as women’s health or “Femtech,” drives considerable entrepreneurial opportunity for unmet need. The report offers considerable detail into financing by sector, investor activity as well as firms. For those interested in conducting business, whether it be drug development or investing in Israel, we recommend this report.
Israel a World Leader in Regenerative Medicine
Israel has been a material contributor to the regenerative medicine revolution. Israeli’s have direct claims to key breakthroughs—one of the first CAR-T gene therapy products cleared by the FDA—Yescarta—was developed by Kite Pharma, a company founded by an Israeli entrepreneur Arie Belldegrun. This pathbreaking therapy was based on the research of Professor Zelig Eshhar of the Weizmann Institute.
Regenerative medicine envelop pushing happens in Israel—based on an annual report of regenerative medicine ventures, over 900 firms are developing regenerative therapies worldwide—by 2018, 24 of these firms were in Israel—making Israel by far the most active country on a per capital basis in the field.
Regenerative ventures with location in both Israel and Europe raised a record $2.2 billion by the end of 2019.
A Busy Place for Advanced Medicine-based Clinical Trials
Israel is a very busy place when it comes to clinical trials. With at least 1,028 ongoing clinical trials (and new ones added each month), the Alliance for Regenerative Medicine reports by the end of 2018 Phase I studies represented 33% of the total, while Phase II totaled 58% and Phase III studies equaled 9%. Most of these studies represent advanced therapy designation—Gene Therapy trials represents 35% of total trials; Gene-Modified Cell Therapy also equals 35%; while Cell Therapy represents 26% and Tissue Engineering 4% of the total.
About Israeli Advanced Technology Industries (IAT)
IATI is an umbrella organization of the high-tech and life sciences industries in Israel, which includes venture capital funds, R&D centers of international corporations, local ventures, business incubators, research organizations, accelerators, etc. A non-profit association, it seeks to advance the high-tech and life science industry in Israel. A proactive, dynamic and progressive organization, it has ties into various segments of the society from finance and industry to academia and community. The organization is led by Karin Mayer Rubinstein.
Call to Action: Interested in learning more? Reach out to IATI.Source: Israeli Advanced Technology Industries (IATI)