A Day in a Startup Accelerator: Evolution of Bio Startup IR

5 a.m. I turned off the alarm and barely woke up on time. It was the day we held a bio startup IR event for venture capitalists at COEX. After a great deal of preparation in the morning, I headed to the event venue.

Five bio startups attended the IR presentation today, Including companies specializing in new drug discovery, medical devices, and beauty products. I could see the CEOs looked nervous but slightly excited. Although it is a frequent event, I cheered for them, hoping they would get better results today.

We talked and asked about the current situation to relieve tension during preparation. The CEO of the startup, a former head of a pharmaceutical research institute, gave us the good news that he had attracted pharmaceutical companies' strategic investment. The investment environment is quite different from last year. Considering that attracting Series B and IPO success is more difficult than ever, I'm thinking of attracting strategic investments or supporting overseas investments for startups.

Now. Finally, each company's IR presentation has begun.

The IR that impressed me the most today was a presentation by a bio-startup CEO who was a doctor. He showed photos of actual accident cases and symptoms of patients to which the developed biotechnology can be applied. Through the comparative video data of non-clinical trials (experiments on animals such as pigs), he delivered a brief but impactful message about possessing innovative technology that could be a potential hope for patients with spinal nerve problems. I have supported the CEO several times over the past two years for IR and PR, but this is the first time he has presented an IR with such a groundbreaking storyline. All the investors, including myself, listened to the announcement with wide ears and were super focused.

What was the reason for trying such an innovative form of IR?

Most of the IR data of bio companies targeting investors include a lot of information on one page, such as descriptions of technologies and financing plans according to future clinical plans. Because of the intense pressure to deliver a lot of content in a short time or to respond to unexpected questions, after an IR, each sheet has more content, and the appendix becomes longer. This startup's IR data was similar until recently.

However, the technology possessed by this startup was unheard of both at home and abroad, so whenever he met domestic investors, he received a reference request to compare similar technologies. He had already conducted numerous IRs and was tired of explaining the new technology each time. In the meantime, he was introduced to foreign investors and met with them.  Surprisingly, they did not ask any specific questions other than if the technology actually exists and whether the company has the technology development capability. This experience is probably the main reason it turned into IR material that was clearer and simpler than before while still having a storyline.

Despite the challenging investment environment, after countless attempts to attract investors, the CEO was close to finding an investor who sympathized with the authenticity and marketability of his technology. Although he is attempting to attract domestic venture investment, it has become clear that he will also consider attracting foreign investment because he would like to find strategic investments with relatively little pressure on the payback period or investors who actively review with interest in their technology.

After the IR completion of the five companies, investors and representatives exchanged business cards and talked in a gentle atmosphere. In addition, one-on-one investment consultations were conducted to allow more detailed conversations with investors.

Whoa, the event was finally over.

As the company grows, many things change from the original plan. Through Pivot, major items and pipelines that perform non-clinical/clinical processes, IR methods, sales, and investors change. Still, for evolving startups, it's just a process. I ended the day expecting a more evolved startup a month or a year later.