June 2007
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Wisconsin's early-stage investment market is thriving. In 2006 we tracked more than $102 million in early-stage investments made in 48 companies and found that angel networks made 38% more investments than in 2005. (Download the report) Why such a strong market? Innovation. From manufacturing technologies to software to the biosciences, Wisconsin is the home of a diverse set of entrepreneurs and technologies. In this month's eVestor we examine Wisconsin's leadership in an expanding worldwide market, stem cell products and services. Below we profile five companies that are making their mark in the evolving stem cell market.

Stem cells in Wisconsin
 

There are various estimates of the number of stem cell companies in the world. With the industry growing so quickly estimates have ranged from 40 to 100 worldwide. Wisconsin holds a share of this market with five stem cell companies calling our state home.

Cellular Dynamics International, Inc. - Founded in-part by Craig January, Tim Kamp and James Thomson, this company screens drugs on human cells. Established in 2005.

Stem Cell Products, Inc. - Company founded in-part by UW researchers James Thomson, Igor Slukvin and Dong Chen who are working to create blood products from embryonic stem cells. Founded in 1998.

Stemina Biomarker Discovery Inc. - Evaluates the safety and effectiveness of drugs among other focuses. Gabriela Cezar is the company's scientific officer and Beth Donley serves as the company's chief executive officer. Established November 2006.

CellCura, Inc. - This Norwegian-born company announced in December 2006 it will move to Madison. The company is currently seeking additional investors.

Cell Line Genetics, LLC - Founded by Lorraine F. Meisner in late 2005, this company provides services and products to research institutions, biotechnology and pharmaceutical companies focused on embryonic stem cell and cancer research.

Market Facts:

  • Nations, state governments and private investors have committed or invested nearly $12 billion to human embryonic stem cell research over the past five years
  • The market for stem cell products in the United States was $16.4 million in 2006 and an estimated $35 million in 2007. It is expected to grow at a compound rate of 50 percent per year for the next 10 years.
  • Total market size in the United States is estimated to be $10 billion by 2016. That would translate into more than 100,000 jobs nationwide.
  • Wisconsin could capture at least 10 percent of that market, creating at least 10,000 jobs.
  • Wisconsin's biotechnology industry as a whole contributes approximately $7 billion to the Wisconsin economy and accounts for 22,000 jobs.


The Wisconsin Edge
 

Coordinated by the Wisconsin Technology Council and its partners, The Wisconsin Edge is a public awareness initiative touring that uses statewide meetings and publications to educate citizens about stem cell research in Wisconsin. It's focus: stem cell research in Wisconsin.

Since January 2007, The Wisconsin Edge speakers have spoken to more than 900 individuals about the tremendous potential stem cell research holds for improving the human condition and the state's economy.

Learn more about The Wisconsin Edge


BIO Boston 2007
 

Interested in learning more about Wisconsin companies in the biotech industry? Meet Wisconsin companies who presented at this year's BIO convention in Boston, the world's largest biotechnology conference. The blog also includes convention coverage, interviews, and video feeds concerning Wisconsin participants.

View the BIO Blog
View presentations from Wisconsin companies


Deals Made
 

$4.3 million in 2 deals were reported to WAN during the past month.

TrafficCast International $2 million by Phenomenelle Angels*, NEW Capital Fund*,      Women Angels* and individual angels
ProCertus BioPharm $2.3 million by Venture Investors* and Novartis Venture Fund
*WAN Investor-member

NimbleGen Systems' much anticipated IPO was scraped for $272.5 million in cash from acquirer Roche. For the second time this year investors have been delivered a great exit. What's happening to Wisconsin's risk capital scene? Find out by reading our 2006 Wisconsin Risk Capital Report.


Upcoming Events
 


Regulatory Fairness Forum for Small Business  July 10, Milwaukee
SBDC's Economic Development Breakfast, The Wisconsin Edge  July 12, Madison
SBDC's Small Business Fundamentals  July 17, Madison
WIN-Madison: Patent Reform Efforts in Congress  July 31, Madison
Lake Superior Technology Conference  August 8-9, Ashland
Advances in Therapeutic Discovery and Drug Development  August 15-17, Augusta, MI
Investors Only: Madison Business and Investors' Forum  August 30, Madison
2007 BIO Mid-America VentureForum  September 24-26, Milwaukee
    Call for presenting companies occurring now



Portfolio diversification is the secret to being a successful early-stage investor. Wisconsin offers investors a wide-range of entrepreneurial investments. In some fields, such as stem cells, Wisconsin is leading the global-way. Being isolated from the "funding meccas" on the coasts tends to keep our innovative entrepreneurs as best-kept secrets from most people, but more investors are finding Wisconsin has many great, diverse investment opportunities. Looking for proof? Read more about TomoTherapy and NimbleGen.

Sincerely,

joe kremer's signature
Joe Kremer, director
Wisconsin Angel Network