Johns Hopkins Economic Impact on Reg i on 2013 Leadership Exchange Richard Bendis President & CEO, BioHealth Innovation, Inc. 10/7/2013
The Region Central Maryland - Unrivaled Research Assets - - Unfulfilled Commercial Promise - 2
State of Maryland: Federal & University Resources 59 Federal Laboratories, Centers, & Institutes in Maryland Maryland Federal R&D investment exceeding $12 billion annually JHU and USM represent another $3.5 billion in annual R&D 3
BioHealth Regional Innovation Cluster Assets 4
Johns Hopkins Impact in Maryland 44,134 M aryland Jobs $9.98 billion Total Economic Impact in Maryland $2.3 billion Spent on Research 8305 Maryland Residents enrolled 492 Faculty with PHDs 1,270,488 Patients Source: goo.gl/w5mcjp
Johns Hopkins Impact in Baltimore City $3 8 7million Purchases of G oods and Services 20,000+Students $8 3 4millionTotal Wage and Salary Payments $3.99 billion Total Impact 49,177 Total Direct and Indirect Jobs G enerated Source: goo.gl/8do12i
BHI: A Regional Innovation Intermediary An organization at the Center of the region s, state s and country s efforts to: Align local technologies, assets and resources Advance Innovation Regionally-oriented Private-public partnership, 501(c)(3) nonprofit Market-driven, private sector-led Neither a government initiative, nor a membership organization 7
BHI: An Innovation Intermediary that Connects Connects Private, Public and Academic Sectors Connects Central Maryland Communities Connects Bio- Health Cluster Industries Connects Regional, National and Global Markets 8
BHI Partners and Sponsors 9
BHI Board of Directors Daniel J. Abdun-Nabi CEO, Emergent BioSolutions Michael J. Baader, Esq. Managing Director Venable LLP Richard A. Bendis President & CEO BioHealth Innovation, Inc. Scott Carmer (Chair) Exec. VP of Com. Operations Medlmmune Kenneth Carter Chair Noble Life Sciences Cynthia L. Collins President & CEO GenVec Scott Dagenais Senior Vice President M&T Bank Ronald J. Daniels President Johns Hopkins University Jens Eckstein President SR One (GSK) David M. Gillece (Secretary) Regional Managing Principal Cassidy Turley Rick Ivey Vice PresidentR&D BD Diagnostics William E. Kirwan Chancellor University System of MD Douglas Liu Senior VP of GO Qiagen David Mott General Partner New Enterprise Associates Jay Ridder Office Managing Partner Ernst & Young William G. Robertson President & CEO Adventist Healthcare J. Thomas Sadowski President & CEO EAGB Thomas Street ACAO MoCo Government 10
BHI Commercial Relevance Advisory Board 31 experienced biohealth professionals assisting BHI in evaluating market-relevant research and product development opportunities The CRAB will help determine the commercial applicability of emerging entrepreneurs, companies and their science or technology. 11
BHI Technology Focus Therapeutics Diagnostics Medical Devices Healthcare Services E-Health Mobile Health Electronic Medical Records Health Informatics BioHealth Cyber Security 12
BHI Organizational Chart 13
BHI and Johns Hopkins Interaction Established C lient Relationships with JHU spinoffs Participated in several federal grant proposals O rganized BHI/JHU investor forums to showcase companies Participated in mentoring selected JHU compa nies and researchers Program Partnership with JHU M ontgomery C ounty C ampus Serves on BHI Board Founding Partner and Annual Financial Supporter of BHI Founding Partner and Sponsor of the first Maryland Health IT Accelerator in B a ltimore Support for specific joint BHI/JHU progra ms 14
BHI/JHU Client Companies Ted Abraham (Johns Hopkins Cardiologist) Perceptive Navigation, LLC Medical Device Develops medical devices related to image-guided, minimally-invasive markets Craig Monsen (JHU Medical Student) Personalized Diagnostics Web/Mobile application that matches patients to high quality healthcare providers. 15
Innovation Paradigm Shift PROOF OF CONCEPT (Technological Feasibility) Laboratory Push It Works! PROOF OF COMMERICAL RELEVANCE (Market Pull) It Works To Solve A Problem I ll Buy It 16
BHI Commercialization Model 17
BHI Entrepreneur-in-Residence Program A team leader who combines scientific, financial/vc and entrepreneurial management experience to: Perform due diligence Develop biohealth project-focused companies Proactively identifies and commercializes market-relevant intellectual properties from: - Federal Labs - Universities - Private Sector Todd Chappell Progress (1+ Years into Program) 114+ Innovations identified and initially screened 65 NIH and 27 industry technology reviews conducted in 2013 Entered into consulting agreement with Perceptive Navigation Entered into agreement with Ahead Research, Living Discoveries, Mimetas, N5 Sensors, and Perceptive Navigation Option Agreement for stem cell technology (JHU) Goal to fund the operation of more EIRs 18
EIR Criteria Senior management in an early stage life sciences startup Entrepreneurial life science start up or spin out activity Management in a organization that specializes in startup companies Experience in a seed stage venture capital firm Served in a business development role in a high performing university or business development organization that successfully formed new ventures Served in a business development role, product development role, or other capacities for biotech products or services that enable substantial knowledge of the earliest stages of development for a new technology startup company 19
Partnership Intermediary Agreements PIA between BHI and NIH s Office of Technology Transfer (OTT) that supports the 27 NIH institutes $3 billion intramural research and the Food and Drug Administration to promote and foster cooperative research and accelerate technology commercialization among NIH/FDA, businesses, and universities. PIA between BHI and the Telemedicine & Advanced Technology Research Center (TATRC) to capture USAMRMC and TATRC research outcomes and promote further research, product development, commercialization, and economic development opportunities. TATRC has funded 241 MD based projects over the last 12 years. 20
BHI Entrepreneurs-in-Residence Todd Chappell (NIH-OTT) Todd assists the Office of Technology Transfer (OTT) in the evaluation of existing technologies, provide an entrepreneurial perspective on new licensing proposals from startup companies, advise on opportunities for new ventures, assist with developmental strategies, and mentor scientists to help ensure their research becomes commercially valuable. Ken Malone (UM Ventures) Ken has built his career on creating economic value from science. Whether it was developing new business lines for global corporations or spinning out new ventures from universities, he has engaged in the commercialization of hundreds of new products in advanced materials and life sciences. Ram Aiyar (NHLBI) Ram assists the National Heart Lung and Blood Institute (NHLBI) in translating disruptive science into commercially viable technologies. He works with the relevant stakeholders within the NIH to develop commercial plans and/or develop licensing opportunities such that the NIH technologies can be translated into commercially viable entities that will solve unmet medical needs of patients. Rich Moore (BD Diagnostics) Dr. Moore previously served as the Chief Scientific Officer for OpGen, Inc. In that role, Dr. Moore provided leadership over multiple R&D functions, and led the company's Scientific and Clinical Advisory Boards. Prior to that, he spent 12 years at BD Diagnostics holding various positions, most recently as R&D Director, Systems Integration and Advanced Technology. 21
EIR Expectations Assist OTT in the evaluation of existing technologies Provide an entrepreneurial perspective to OTT in its evaluation of new licensing proposals Advise OTT on opportunities for new ventures based on NIH/FDA technologies Assist with developmental strategies Mentor scientists to help ensure their research becomes commercially valuable Identify market viable innovations from NIH and other regional institutions Act as liaison among regional biohealth stakeholders and NIH Primary and secondary commercial analysis of lead technologies Develop novel technologies that are at conceptual stage Act as catalyst to license most interesting technologies and fund start-up companies 22
Maryland Universities/EIR Interaction $5.8M budget 5 University partners 5 University site miners 40 University pre proof-ofconcept technologies funded $25-$150K funded per technology Regular meetings between BHI/EIR and site miners BHI identifies most commercially relevant technologies BHI and INNOVATE MD partnership opportunities BHI Commercial Relevance Advisory Board (CRAB) 23
The Startup Company Spectrum 24
BHI Innovation Capital Map 25
BHI Innovation Capital SBIR/STTR Assistance Program - The BHI SBIR/STTR Assistance Program (in development) will provide assistance to biohealthdriven companies in the Central Maryland region in preparing for high-quality SBIR/STTR grant proposals for submission to federal funding agencies. Metrics: Review 60 federal funding proposals per year Conduct 20 intensive assistance projects in 2013 Track success measures through scoring, dollars, and leverage assistance. BHI Angel Fund - The BHI Angel Fund (in development) will be a member-managed private equity investment fund serving the Central Maryland region entrepreneurial needs. BHI Commercial Relevance Investment Fund - The BHI Commercial Relevance Investment Fund (in development) will help grow, attract, retain and connect Central Maryland biohealth innovation-based companies that need financing to grow their enterprises. 26
Health IT Booming Increased investments in the mobile and healthcare sectors helped boost the median size of angel and angel group syndicate rounds Mobile health technologies projected to be worth $11.8 billion by 2018 Source: Q1 2013 Halo Report 27
DreamIt Baltimore Partners
DreamIt Health Baltimore powered by Biohealth Innovation, Inc. A Health IT Accelerator is an intensive 16 week program that admits top-recruited companies and entrepreneurs, provides a curriculum and network of experienced mentors in business, marketing and product development in the Health IT arena to accelerate top companies. No HIT accelerators currently in Maryland Partner with Dreamit Ventures/JHU Located in a Central Maryland Co-Working space Retain promising high growth HIT entrepreneurs in MD Scheduled to launch in January 2014 Proposed Location: 901 Bond Street, Baltimore 30
Who We Select Teams comprised of bright, capable, enthusiastic people with whom we can work Well-rounded teams, wiling to work full-time on their projects Teams with technical co-founder (no single person companies) O pportunities in big markets, where there s a recognizable pain/need Businesses that can reach the next meaningful market milestone in 3 months Business we can help through our experience & networks (Notice we didn t mention great business ideas )
DreamIt Accelerator Process M arketing & startup recruiting (Deal flow generation) Application review & interviews & selection (Initial due diligence) C ommunal office space (including furniture, internet, printer, office supplies) M entorship & coaching (through personalized, dedicated mentors, D re a mit Pa rtners, subject-matter experts, D re a mit alumni, and other advisors) M atching of hackers/strategists (Team building) Donated legal & accounting services Speaker series & office hours with subject matter experts O ffice hours with angel and early-stage VC investors A Demo Day with hundreds of investors and media present Free or discounted software & services Stipends (up to $25,000-$50,000)
DreamIt Health Baltimore powered by Biohealth Innovation, Inc. 3 rd Quar ter 2013 4 th Quar ter 2013 1 st Quar ter 2014 2 nd Quar ter 2014 Assemble Management Team, Mentors, Technologists, Supporting Business Professionals for the Health IT Accelerator Finalize Program Processes, Protocols & Agreements Publicize and Market the First Class and Opportunity (90 Day Process) Launch of first Health IT class Graduation Event with Investors
DreamIt Health Baltimore 2014 10 C ompa nies Applications Due: 11/15/13 Progra m Starts: 1/17/14 D emo Day: 4/30/14 Enterprise focus: where we see the bulk of the opportunity M ulti-stakeholder: payer/provider collaboration is a must in the era of value-based healthcare Access: to key resources (systems, data) +beta customers G eography: density of talent and opportunity in B a ltimore; a microcosm of the national industry but recruited internationally Experience: D re a mit + BHI + Johns Hopkins +? +successful Health IT Entrepreneurs
Elliot M enschik Co-Manager D re a mit Health A serial entrepreneur and Managing Director of the Dre a mit Health program in Spring 2013. In addition to D re a mit Health, Elliot is C o-founder of Venturef0rth, a leading co-working space in Philadelphia, and on the faculty at the University of Pennsylvania where he teaches in the Engineering Entrepreneurship program. An NIH Fellow in the Medical Scientist Training Program, Elliot received an MD and PhD in Neuroscience from the University of Pennsylvania School of Medicine following his work on memory function and Alzheimer s disease developing and exploring massively-parallel computer models of the brain. He holds MSE and BSEE degrees in Electrical and Computer Engineering from the Johns Hopkins University following work on microprocessor and chip design.
Entrepreneur s Resource and Finance Guide Financing and Entrepreneurial Resource for Montgomery County and the Greater Baltimore Region Entrepreneur and Innovation Resource Network Innovator Financing Guide The Startup s Guide to Intellectual Property Federal Labs Listing 36
BHI International Soft Landing North America Netherlands Germany China Korea Portugal South America BHI offers international companies the perfect starting point to create US based subsidiaries by connecting them with BHI s extensive network. 37
BHI H-RIC Model Health Regional Innovation Cluster (H-RIC) Regional, cluster-based economic development model Modeled after the Department of Energy s Regional Innovation Cluster Connects innovation assets to related industries Advances human health and economic prosperity Focuses on proof of commercial relevance 38
BHI: The Triple Bottom Line Grows high-paying jobs and businesses Expands tax base; improves economic vitality and Benefits human health! 39