BioneXt 2007
BioneXt is an investment, development and cooperation programme engaged by universities, research institutions, the City of Tampere, business life and producers of health services for the years 2003–2010. The programme focuses on the leading-edge research, product development, clinical application and international commercialization of biotechnology that promotes health and well-being. The focal areas are biomaterials, tissue engineering, bio ICT and immunology, and seven spearhead enterprises related to these areas. BioneXt also participates in national development activity in the field.
Spearhead enterprises Biomaterials and tissue engineering:
l Regea Institute for Regenerative Medicine l Research and Development Centre for Ophthalmic Innovations SILK l Hospital for Advanced Therapies
Bio ICT:
l Biological Information Centre BIC l Biosensing Competence Centre BCC l Research Tissue Bank
Immunology:
l Centre for Vaccine Research and Immunology, Vactia
Launching cooperation In brief, BioneXt’s mission with the spearhead enterprises is to achieve cooperation and investment in the future. Among other tasks, BioneXt prepares and launches projects together with its partners, oversees contract negotiations, brings players together, seeks cooperation partners, experts and resources, develops the infrastructure in the programme’s focal areas through enterprises, markets expertise internationally and funds enterprises related to the focal areas.•
Forging ahead
BioneXt in 2007
BioneXt has been particularly effective as a tool for sustained development, and it has channelled resources to its focal areas. At the time of its establishment in
2003, the target for BioneXt’s project portfolio was set at an ambitious 100 million euros by the year 2010. Now, approximately half-way through the programme, this challenging target has already been exceeded. Taking the indirect impact into account, BioneXt’s project portfolio is close to 190 million euros. Targets have also been reached in a project to activate capital investment in companies. The project resulted in investments in start-up companies totalling 22 million euros. Due to systematic business development, the number of start-up companies has increased continually. 15 new companies have been generated during BioneXt. For example, more than half of the life sciences companies started in incubators in Finland in 2006 were established in Tampere. Almost all are categorized as ‘A class’ companies, aiming for the international market and having received capital investment. The programme has funded key, foundation-building activities such as
the spearhead enterprises, business development, the activation of capital investment, biotechnology education and the development of research infrastructure. Funding from BioneXt has also helped in the acquisition of other funding, and the leverage effect of BioneXt funding has been notable. “The challenges remain as they were, namely increasing the ratio of private funding and securing funding for companies after the seed stage. The programme will focus on these areas with greater intensity in 2008,” says Director of BioneXt Tero Välimaa. In 2007, Regea strengthened its position as a national centre for tissue engineering and a generator of new companies. The Centre for Vaccine Research and Immunology, Vactia, was established in 2007. Internationally large-scale vaccine studies have already been launched at the centre. Other units established were the Pirkanmaa Hospital District Research Tissue Bank and the Biosensing Competence Centre, BCC, which focuses on biosensors and
research and product development related to biomeasurement technology. “It’s important that new health technology companies are established in Tampere, but it is also important that companies from abroad locate in the region. BioneXt has a role in creating the right kind of environment and magnetism to bring more international and national players to the region,” Välimaa says, adding that wide-reaching cooperation is already underway with large international pharmaceutical companies in the Tampere Central Region. The partners include companies like GlaxoSmithKline and Sanofi-Aventis. Vactia and the Research Tissue Bank in particular have been targets of international interest. Due to investment through BioneXt, job numbers in health technology in Tampere have experienced steady growth. According to Statistics Finland, this development is the most positive of all other Finnish concentrations in the field.•
Project portfolio BioneXt’s project portfolio and funding have steadily increased and are on the right track. The large proportion of funding from capital investors is particularly positive, together with the fact that more than half of funding is channelled into company projects and business development.
Direct influence Total 109 091 000 e Graph figures in e thousand
2007 NEWS l The Academy of Finland allocated significant funding in excess of 900,000 euros for the cross-disciplinary StemFunc cooperation project between Tampere University of Technology and the University of Tampere in summer 2007. The project entails the development of methods which make it possible to produce functioning nerve and myocardium cells applicable for cell or tissue transplants from stem cells. The research consortium is aiming for the leading edge in stem cell research that utilizes modelling and microsensor technology. BioneXt has participated in funding the project and the required equipment. l VTT, TUT and specialist of laser machining Nanofoot Finland Oy have developed a 3D Forming method for forming biomaterials, in a project funded by BioneXt. The method enables the fabrication of smaller and more precise biomaterial implants, i.e. microscopic ‘human spare parts’. l In 2007, one of Vactia’s founding members, STD research at the University of Tampere, launched a highly extensive clinical study of a papilloma virus vaccine and the sexual health of youth in cooperation with the National Public Health Institute. The study will cover all youths born between the years 1992 and 1995 in 33 localities. The recruitment target is more than 60,000 youths. The budget for the first stage is eight million euros. The study is funded by GlaxoSmithKline.•
Programme and enterprise preparation 2% 2 491
Education 7% 7 338
Company enterprises 42% 45 376
Research enterprises 40% 43 581
Infrastructure 9% 10 305
Effectiveness Total 189 866 000 e Programme and enterprise preparation 1% 2 491
Company development and enterprises 58%
Education 4% 7 338
Research enterprises 23% 43 581
110 376
Infrastructure 14% 26 080
Sources of funding Total 189 866 000 e City of Tampere 3% 5 119
EU 4% 8 002
Partners 10% 18 951
Companies 16% 30 152
Tekes/TE-Centre for Pirkanmaa/ Ministry of Trade and Industry 12% 22 423
Centre of Expertise programme 1%
Academy of Finland/ Ministry of Education 7%
1 183
13 696
Venture Capital 47% 90 340
The researchers and developers in the Finn-Medi community also participate in the activities of the Tampere University Hospital. “At the hospital we gain expertise that we wouldn’t otherwise have access to – and it works both ways, as we contribute our own expertise to the research and development. It’s also important that companies take part in steering the research,” says Director of the Pirkanmaa Hospital District, Rauno Ihalainen.
Success for BioneXt in a demanding task The mission of BioneXt is to bring together the
various stakeholders in healthcare and medicine – namely the City of Tampere, universities, the Pirkanmaa Hospital District and companies. “BioneXt is a discussion forum and a significant player in that role alone. It has also been a means to define the focal areas on which to concentrate and for selecting practical initiatives into which funding has then been directed. BioneXt has succeeded well in these areas, despite the challenging nature of the tasks. It will of course take years before the actual results are visible – how new forms and methods of treatment and new jobs have been generated from the research and development,” estimates Rauno Ihalainen, Director of the Pirkanmaa Hospital District and a member of Bionext’s management group. He emphasizes that the hospital district seeks participation in the research and development of new forms and methods of treatment and new technologies.
“Many of the areas developed in BioneXt will also improve services in specialized medical care.” New technologies in fields like tissue engineering and biosciences have led to great expectations over the possibilities involved. In Ihalainen’s view, the potential is already starting to become a reality in patient care. “Applications for everyday clinical work will be found in the near future. When this happens, the prerequisites for better results and the impact of specialized medical care will improve.” Of the projects in BioneXt, the preparation project for the Hospital for Advanced Therapies (HAT) and the ophthalmology innovation and development project are of particular interest to the hospital district. Ihalainen points out that the cooperation forum’s existence should be assured after the BioneXt project ends in 2010. “The role as an enabler of cooperation is particularly well suited to the City of Tampere.”•
Tampere is the Finnish capital of human spare parts, vaccines and biosensors
Progress of spearhead enterprises Regea Institute for Regenerative Medicine The focal areas of Regea’s operation
are tissue bank activity, and stem cell technology and tissue engineering research aiming towards clinical application. The target is human spare parts: in future it will be possible to grow replacement tissue for all tissue and entire new organs from human cells. Regea’s first forms of treatment have already advanced to clinical trials. For example, together with Tampere University Hospital the institute has successfully treated patients suffering severe, prolonged frontal sinusitis with an implant combining stem cells and biomaterial. In the latest clinical trial, a section of jawbone was grown from stem cells isolated from the patient’s own fatty tissue. Regea has also generated three new companies in the fields of cell technology and tissue engineering. The companies are Evostem Oy, which specializes in repairing horse tendon injuries, fertility treatment specialist Ovumia Oy, and bioscience service and research company Histola Research Oy. Regea hosts Finland’s first EU directive compliant tissue bank. Regea employs 50 people, and in 2007 its budget was 3.5 million euros. Regea is an independent institute of the University of Tampere, founded by the University of Tampere, Tampere University of Technology, the Pirkanmaa Hospital District, the Pirkanmaa University of Applied Sciences and the Coxa Hospital for Joint Replacement. Regea is directed by Professor Riitta Suuronen.
The Research and Development Centre for Ophthalmic Innovations SILK and the Hospital of Ophthalmology SILK is a cross-disciplinary
concentration of expertise in diagnostics and new treatment methods for ophthalmic diseases. It develops alternative research methods for drug development, experimental ophthalmic disease models and clinical research for the research and development of new pharmaceutical and tissue engineering based forms of treatment, diagnostic measurement and diagnostic equipment and new methods of dosing. The first clinical studies began in 2007. Instances of retinal diseases – age-related macular degeneration, glaucoma and eye disease caused by diabetes – have risen dramatically and will continue to do so in the future. Retinal diseases are more and more often a cause of visual impairment. There is a great need to treat these diseases more efficiently, and the development of treatment for retinal diseases is one of the tangible challenges that SILK will be focusing on. SILK’s activities will in future be closely linked with the Hospital of Ophthalmology project by the Pirkanmaa Hospital District. Other aims include building a new research hospital offering new, advanced treatments together with Regea by 2011. SILK was founded by the University of Tampere, Tampere University of Technology, the Pirkanmaa Hospital District, various VTT units and companies. The project is the responsibility of Professor Hannu Uusitalo.
Hospital for Advanced Therapies, HAT Oy The Hospital for Advanced Therapies,
HAT Oy, which is now being established, focuses on tissue engineering based treatments and is an excellent facet of the health and biotechnology cluster in the Tampere Central Region. Tissue engineering makes it possible to develop therapies for diseases for which there haven’t been adequate treatments with current methods. Potential areas include bone deficiencies, cartilage damage, tendon injuries, corneas, incontinence, skin tissue and spinal and brain injuries. The hospital will produce services for the special needs of public healthcare as well as self-paying Finnish and foreign customers. In regard to ophthalmology, HAT is closely linked with SILK. Together, Regea, SILK and HAT form a product development and innovation centre for tissue engineering and regenerative therapies. HAT’s founders are the Pirkanmaa Hospital District and Regea, and its initial stages are funded by SITRA, BioneXt and the Council of Tampere Region. The hospital is to launch its activities at the end of 2008.
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High-quality ophthalmic pharmaceuticals, from Finland Santen’s Vice President, R&D, Kari Lehmussaari believes SILK will generate important synergy by networking the experts of ophthalmic research, treatment and diagnostics in the Tampere Region, and also by bringing these experts’ own networks into the cooperation.
Pharmaceutical company Santen Oy has been
in the ownership of Japanese company Santen Pharmaceutical Co. Ltd for over a decade. During this period, Santen has grown to become the leading manufacturer of ophthalmic drugs in Northern Europe and the centre of the parent company’s European business and research. In recent years the parent has invested more than 30 million euros in Finland and Tampere. Innovative and efficient research and product development play a key role in Santen’s success. At Santen in Finland, 80 professionals develop new products in cooperation with their Japanese and American colleagues. Santen has been a BioneXt participant from the start and is at present actively engaged in forwarding the Research and Development Centre for Ophthalmic Innovations SILK.
Competence from home territory “There’s a lot of expertise related to the treatment and diagnostics of ophthalmic diseases in the Tampere Region. Various parties have collaborated before, but with SILK the cooperation will be intensified and an
increasing degree of synergy will be built between competences. Santen has a strong interest in the development of such a network,” says Vice President, R&D at Santen, Kari Lehmussaari. He believes in SILK’s positive reflections: through development projects, cooperation will intensify, which raises awareness of the synergy benefits and in turn increases the number of joint development projects and raises the expertise of local stakeholders. “The more expertise there is, the more there is to be refined, by which I mean material for the development of concrete therapies and drugs. I also expect SILK to generate the right kind of innovations.” And the more familiar the experts and the competence, the smoother is cooperation – which also accelerates product development, for example. For Santen, the development of competence in the entire field of ophthalmic disease and the competence outside its own expertise in ‘home territory’ improves the company’s chances of developing more effective ophthalmic drugs for the use of patients. “A strong local expertise base and operating environment support our core business as well as our position within our international corporate group.” Lehmussaari estimates that SILK may even in a short space of time improve the opportunities for Santen’s projects to carry out clinical research in Tampere and offer pre-clinical expertise for new development projects and materials-related technological expertise.•
Santen Oy
l Turnover: approx. EUR 70 million (2006) l Employees: 500 (Europe) l Exports: more than 80% of turnover l Major markets: Europe, USA
Progress of spearhead projects lll Biological Information Centre BIC BIC combines and applies data
obtained from biological research to technical solutions and services. It acts as an umbrella organization for the Biosensing Competence Centre, the research tissue bank and the biological data handling consortium. There are no other comparable concentrations of expertise in the handling of biological data and biosensor technology anywhere else in the world.
Biosensing Competence Centre BCC BCC, a leading-edge research
centre focusing on the research and product development of biosensors and biomeasurement technology launched its activities at the end of 2007. BCC brings together the crossdisciplinary expertise required in the development of biosensors in one centre, acts as a link to leading-edge research and the expert network for companies, and strengthens companies’ product development from basic research to pilot production. The centre also generates new spin-offs and innovations for licensing. The sensors developed at BCC will be utilized in areas such as healthcare and elderly care, sports and the monitoring of foodstuffs and the environment. The best-known biosensors are sensors that measure blood sugar levels or are used in pregnancy tests. Bionsensors based on living cells are under development, and these can be used to measure the concentration of harmful substances in environmental samples and drinking water, for example. Business expectations are high: it is estimated that the global value of the biosensor market exceeds 17 billion euros, and only some one percent of the required applications are covered.
BCC’s activities are based on the expertise of TUT and VTT. Eleven professor-led groups and some 60 researchers are involved in the activity. In future, all expertise in the field in the Tampere Region will be brought together at the centre. The centre’s managing director is Hannu Helle.
Research Tissue Bank The activities of the Research Tissue Bank were launched in 2007. The bank is administered by the Pirkanmaa Hospital District Laboratory Centre. The research tissue bank gathers and administers tissue archives and the related patient data. It also gathers targeted patient materials which can be analyzed with methods enabled by tissue engineering. The aim is to enhance the efficiency of healthcare and develop new forms of treatment. Another aim is to generate new business activity and research units, and to attract operations from large pharmaceutical companies to Tampere. The main focuses in 2007 were on the compatibility of information technology and activities related to data gathering, digitalization and structuring. Virtual microscope equipment was acquired with an aim to launch the collection of prospective image banks of targeted cancer types, together with research groups specialized in prostate and breast cancer, for example. Pilot projects were launched with companies and research groups during the year. There are currently four employees in the tissue bank, which is led by Adjunct Professor Immo Rantala. The bank’s budget will be one million euros by 2010, and it intends to become the leading Finnish player in its field.
Centre for Vaccine Research and Immunology Vactia Vactia was established in early 2007
and received its own premises in the autumn. Vactia is the largest research and product development centre for vaccines and immunological disease in Finland. It brings together almost 200 researchers and a project portfolio of more than 20 million euros. Vactia’s managing director is Mika Rämet. Currently under development are a bird flu vaccine based on a new technology, and new technologies and preparatory methods for the treatment of other infectious diseases. Other objects of research and development are a DNA vaccine, RNAi technologies, and HIV, rotavirus, childhood diabetes, influenza and pneumococcal vaccines as well as human papilloma virus and hepatitis B vaccines. By 2015, Vactia aims to be an international centre of excellence in vaccine and immunology research with significant vaccine projects based on its own research and product development. At the same time, Tampere is to have between five and eight vaccine companies. In addition to vaccine research, Vactia aims to combine the competences and resources of different organizations into a whole that enables more in-depth cooperation with large companies, the implementation of larger international projects and the development of infrastructure required by research groups and companies.•
Development of activities
Results and impact Education BioneXt funding has been a significant influence
on the launch and implementation of teaching and education in the biotechnology degree programmes at the University of Tampere and Tampere University of Technology. BioneXt will continue the development of education. A joint degree programme by the universities in Tampere was established in autumn 2005. The degree programme is unique in Finland, and it has progressed well in accordance with its targets. An evaluation report on the teaching of biotechnology in Tampere was completed in autumn 2007. According to the external evaluation, the degree programme has met the aims set for it well, is productive and answers the needs of business.
The joint degree programme is the most popular ones at the universities year after year. In recent years, the biochemistry programme at the University of Tampere has attracted more applicants than the corresponding programme at the University of Helsinki. In Tampere University of Technology’s degree programme in biotechnology, higher entrance exam points have been required than for any other degree programme at the university. Masters of Philosophy and Masters of Science in Technology graduating from the diverse, crossdisciplinary programme have found employment in tasks corresponding to their education – some as molecular biologists, some as technologically oriented biotechnology experts.
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Multidisciplinary and versatile experts l The University of Tampere and Tampere University of Technology have cooperated in the education and teaching of biotechnology since 2001. A degree programme in biotechnology was established at the University of Tampere Institute of Medical Technology (IMT) in 2001. A biotechnology degree programme leading to a Master of Science in Technology degree was launched at Tampere University of Technology’s Department of Environmental Technology in autumn 2005. At the University of Tampere, students can specialize in bioinformatics, molecular biology, cell technology and tissue engineering, and biotechnology business. At Tampere University of Technology it is possible to specialize in environmental technology, computational system biology, tissue engineering and biomeasurements. All in all, some 50 students are admitted onto the degree programmes every year. The programmes train multidisciplinary and versatile experts for employment needs in biomedicine and biotechnology research and product development at universities, state research institutions and companies. There is also an international Master’s programme at both universities; the Master’s Degree Programme in Bioinformatics at the University of Tampere and the Master’s Degree Programme in Science and Bioengineering at Tampere University of Technology. Both programmes have student and teacher exchange with several universities abroad.•
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Development of activities lll Business development
Development of infrastructure
The business development services
BioneXt invested in the development of infrastructure mainly in the spearhead enterprises. A new zebrafish laboratory for the study of innate immunity mechanisms, for example, and a bioreactor laboratory for the production of proteins and cells for use by companies and research were established in Vactia in 2007. Equipment allocable for internationally unique virtual microscopy was acquired for the research tissue bank, which will significantly increase the value of the bank’s samples and improve its archiving services. BioneXt also funded the establishment of Regea’s quality assurance operations and laboratories as well as research equipment related to the Finland Distinguished Professor Programme by the Academy of Finland and Tekes. A confocal microscope was acquired for SILK. BCC gained premises from Technology Centre Hermia. Among others, an RIE device required for the manufacture of microsensor structures was acquired for research facilities at TUT.
comprise evaluation, pre-incubator and incubator stages. In the process, starting entrepreneurs are provided assistance to find the correct means and cooperation partners to commercialize an idea. The process-format activity has proven its strength. The number of start-up companies has continued to increase. During BioneXt, systematic business development has resulted in the emergence of 15 new companies. In 2007, a total of 14 business ideas with the aim to establish a business were evaluated. Six pre-incubator and incubator contracts were signed and four new companies were created. These companies gained some eight million euros of capital investment and other funding. The incubator companies currently employ about 30 people. In addition to incubator activities, the prerequisites for incubator companies to acquire capital investment were improved. Among others, three sparring events for experts as well as presentation events for ‘business angels’ and other early-stage investors were arranged during the year.
Activation of investment The aim of the activation project for
capital investment in companies was to achieve investment of 20 million euros in biotechnology companies in the Tampere area over a three-year period. The project ended successfully in 2007. The aim was exceeded: the accumulated capital investment totalled 22 million euros. In addition, a network of 60 investors was created in the project. The companies and expertise of the Tampere Central Region were regularly presented to the network.
Communications and marketing BioneXt has participated in several
national and international events, such as the World Vaccine conference, Bio 2007, BioSquare, the Tissue Engineering Symposium, Medica 07, the Nordic Venture Summit and the Alternativa aktiemarknaden investor meeting. BioneXt has been in active contact with European and American pharmaceutical companies in order to market expertise and attract investment. Communications are carried out as part of the communications of the entire Finn-Medi health technology cluster. BioneXt’s report on activities for 2006 was published at the beginning of the year, and a publication presenting the spearhead enterprises was published the same summer.•
ConMed Linvatec Biomaterials Oy
l Some 60 personnel in Tampere, 3,300 at ConMed in its entirety l ConMed group has a turnover of USD 694 million (2007)
Developer of bio “The story began over there, just across the street,” says Managing Director of ConMed Linvatec Biomaterials Oy, Kaj Koskinen as he gestures towards the Hermiankatu street and Tampere University of Technology through his window at Hermia. He also speaks of the high-standard expertise in medicine, materials science, health technology and biotechnology and the development of bioabsorbable implants, which began at Tampere University of Technology almost three decades ago from cooperation between Pertti Törmälä and Pentti Rokkanen. The world’s first bioabsorbable rods and screws were developed in 1984 and the company
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Managing Director Kaj Koskinen (left) and Product Development Engineer Jouko Ilomäki show a new-generation bioabsorbable screw, developed by ConMed Linvatec Biomaterials and intended for the repair of anterior cruciate ligament tears in the knee.
materials and implants Bionx Implants Oy emerged around the same invention. In 2003, the American company ConMed Linvatec became interested and acquired the company to supplement its own competence. ConMed Linvatec Biomaterials was born. “ConMed acquired expertise in biomaterials and implants, and it’s this foundation of know-how and training that keeps us in Finland and Tampere,” Kaj Koskinen says. The sum total of expertise is perhaps most apparent when described in patent figures: the corporate group has some 500 patents and 300 patent applications, more than half of which originate from Tampere.
More products, more areas of application
ConMed Linvatec Biomaterials focuses on bioabsorbable screws, pins and rods used mainly for the Kaj Koskinen is satisfied both treatment of sports-related with his company’s current knee and shoulder injuries. status and its prospects. ConMed Linvatec Biomaterials The implants are based on an is responsible for biomaterials in-house invention, namely a research, product development self-reinforced polymer. Newgeneration implants based on and production in ConMed. composite materials are on These responsibilities will their way. They will be stronger further broaden as the company becomes the link for and accelerate healing. More the parent’s European research products and application areas are set to follow. and development activities. The implant business is “ConMed Linvatec Biomaterials is a profit-making growing, but competition is getting tighter. Above all, Kaj company with established Koskinen relies on a strong products. Our premises and technological foundation and personnel are growing. We’re backed by a successful parent cooperation network, skilled and committed personnel and capable of investment – as the fact that personnel are well as its global marketing easy to recruit due to the good network.”
educational opportunities available in the Tampere Central Region. He believes that BioneXt, too, has been influential in bringing about success. “BioneXt has provided a significant means for networking, opened discussion and performed the role of mediator. It is a power that acts behind the scenes, so that there are cooperation partners available and it is easy to get in touch with them. It has commendably sought shared interests and brought together top experts in the field to appear together and to seek cooperation partners from abroad, for example.•
Viestintätoimisto Tammisto, Knuutila & Tammisto Oy, Esa Print Tampere, kesäkuu 2007
BioneXt Tampere office c/o Finn-Medi Research Ltd Biokatu 12, FI-33520 Tampere, Finland Phone +358 (0) 3 3116 4078 Fax +358 (0) 3 3116 4029
Viestintätoimisto Tammisto, Knuutila & Tammisto Oy, Esaprint 2008
Director Tero Välimaa Email:
[email protected] Mobile +358 (0) 40 5968 035 www.bionext.org
