University of California Center for Accelerated Innovation DGSOM Accelerator Michael Palazzolo, MD, PhD UC CAI Center Director
Overview Goals of the Ecosystem Status of Biotech and Pharma Why an Accelerator and Not an Incubator Structure of Ecosystem Lead Projects
Goals of the Accelerator/Ecosystem Improve Pa4ent Outcomes and Lower Healthcare Costs Support the Faculty Revenue Stream Makes Ecosystem Self- Sustaining
Overview Goals of the Ecosystem Status of Biotech and Pharma Why an Accelerator and Not an Incubator Structure of Ecosystem Lead Projects
Historical Process: Biotech Supplements Pharma s Pipeline University Research Tech Transfer Venture Capital Biotech Pharma technological bogleneck - the mechanisgc understanding of a disease can use to validate therapeugc intervengon points Primary occurrence - UniversiGes value transi4on point - occurs at proof- of- concept in phase I/II clinical trials Primary occurrence - Biotech and Pharma
Venture financing for biotech has been in decline Some venture capitalists have stopped funding new biotech altogether. Wall Street Journal, March 16, 2012 VCs, Biotech, and Pharma are Under Stress However, although investment in pharmaceutical research and development has increased substantially the lack of a corresponding increase in terms of new drugs begin approved indicates that therapeutic innovation has become more challenging. Nature Reviews. Drug Discovery 10, No. 6, pp.428-438.
UniversiGes as a TranslaGon Engine Q: If Biotech shrinks and its ability to supplement Pharma s pipeline is weakened can a university take advantage and recover value currently captured by VCs and Biotech? University Research Tech Transfer Pharma YES, if it develops an ecosystem that develops products with qualiges resembling those that emerge from Biotech IP has to move up to the value transi4on point
Overview Goals of the Ecosystem Status of Biotech Why an Accelerator and Not an Incubator Structure of Ecosystem Lead Projects
Do You Want an Incubator or Accelerator? Incubator - implies labs. Accelerator - focus on what is necessary to move project to an opgmal exit. Accelerator acgviges should be tailored to projects achieving highest return on investment. Generic vs. Targeted Accelerator generic Accelerator - fixed costs and personnel targeted Accelerator determines most efficient process by tailoring acgviges to specific situagons targeted Accelerator focuses on making products and IRR, not on mee4ng payroll Accelerators fill gap in most cost- effec4ve fashion possible
Accelerator as Internal VC MulGple Roles Nurture innovagon Advance to value point with NIH funding InsGgate collaboragons Business Advice IdenGfy opportuniges Manage new ventures Investment philosophy Risk/reward Leverage non- dilugve funding CompeGGve edge Not a slush fund focus is translagon
IdenGfying and Building Pladorms What is a PlaAorm? Aeack most important bogleneck - the value chain Integrated and comprehensive in a manner that moves from discovery to valuable endpoint Provides mul4ple shots on goal, affords a variety of potengal business strategies Provides mulgple types of opportuniges example: therapeugcs and companion biomarkers Singleton - narrowly defined project with single shot on goal
Overview Goals of the Ecosystem Status of Biotech and Pharma Why an Accelerator and Not an Incubator Structure of Ecosystem Lead Projects
Goals of the Accelerator/Ecosystem CTSI CAI Accelerator
DGSOM Accelerator/ Medical School Deans Accelerator Governance and Oversight Group Faculty Group Accelerator Staff Consultants John MazzioGa Mike Palazzolo Homer Pearce, Medicinal Chemistry Judy Gasson Bill Boyle Ed Lees, Informa6cs Larry Souza TBN Programmer TBN Devices Bill Ouchi TBN Regulatory/ Pharmacology ConfidenGal DGSOM
Desired Pordolio TherapeuGcs Monoclonal angbodies Small molecules Digital Health Devices DiagnosGcs ConfidenGal DGSOM
OrganizaGonal OpGons TradiGonal via OIP (UCLA Tech Transfer) Startups License to exisgng company Fund Internally to proof of concept AucGon license to highest bidder Build through non- dilugve funding Faculty/UCLA companies in Renovated CHS space built by SBIR grants ConfidenGal DGSOM
TranslaGonal Tools Project management Target product profile Gane charts Budgets Leveraging internal exisgng resources ConfidenGal DGSOM
Overview Goals of the Ecosystem Status of Biotech and Pharma Why an Accelerator and Not an Incubator Structure of Ecosystem Lead Projects
Lead Projects UCLA TORL (Slamon) Wireless Health IniGaGve Immune Checkpoints DiagnosGcs for Cancer