1. 62 n e u r o p e a n l i f e s c i e n c e j o u r n a l n N O 4 / 2 0 0 8
usa
Good conditions fuel
Colorado’s bioscience industry
Since 2003, employment in the bioscience industry has increased by 50%, the number
of companies has grown from 230 to 430 and venture capital investment has for the last
several years averaged USD 350 million annually. All of these growth indicators exceed
national average growth rates. So, what has happened in Colorado?
CLUSTER In 2003, Colorado was home
to a total of 230 bioscience companies.
In 2008, that number grew to 430. Em-
ployment in the industry during this time
increased 50%, from 12,000 direct jobs
to over 18,000. Earlier this decade, Colo-
rado’s research institutions were spinning
out one to three bioscience companies
each year, at best. Since 2006, this num-
ber has mushroomed to almost 15 each
year. Venture capital investment averaged
USD 80 million annually in 2003, and
for the last several years the average has
been over USD 350 million. All of these
growth indicators exceed national average
growth rates. So, what has happened in
Colorado?
Colorado began this century with
many of the ingredients of a successful
bioscience cluster: some strong, large, es-
tablished companies; a well-funded and
competitive basic science research enter-
prise across multiple, highly-ranked in-
stitutions; a growing understanding by
policy makers that the industry could
provide desirable jobs; a long and strong
cadre of highly-specialised professionals
to support the industry; and some notable
successful entrepreneurs. But, the sector
seemed to stall. Early-stage companies
were being moved almost right after their
formation to more mature clusters by in-
vestors; research discoveries were not be-
ing commercialised within the state; there
was no articulated place for the industry
in the economic development agenda; and
the industry itself was comprised of many
isolated companies along a 120-mile cor-
ridor.
A group of leaders from Colorado’s re-
search institutions, investors, and vision-
ary entrepreneurs founded the Colorado
BioScience Association (CBSA) in 2003 to
create a single, coordinated organisation to
represent the industry, develop strategies
for its growth, and track its development.
In the five years it has been active, CBSA
has provided the central convening point
for all of the diverse stakeholders to devel-
op and follow through on an intentional
and aggressive agenda to increase the size
of the industry in the state. The CBSA
convenes the industry both through its
own governance process and by organis-
ing over 60 technical, education, and net-
working events that are attended by over
5,000 people each year. CBSA successful-
ly initiated over USD 30 million in new
legislation that brings resources to early-
stage commercialisation within research
institutions and young companies.
Abrams, MD, Assistant Clinical Professor
at the University of Colorado, Thomas J.
Anchordoguy, and Karen Stevens, PhD.
The company’s technology offers a novel
approach to treating medically refrac-
tory neurological conditions by using an
implantable infusion pump as a direct
delivery system for treatment of brain
disorders. While the technology looked
promising to investors, Dr. Abrams and
his co-founder had to produce additional
research results for them to get serious.
They successfully applied for a USD
190,000 state-funded, matching grant
from a new programme established pur-
suant to legislation initiated by CBSA in
2006. In 2008, the company announced
a successful Series A funding round of
USD 21.5 million, which came about, in
great part, because the state grant allowed
them to demonstrate research milestones
that were required before the marketplace
deemed them financeable.
Out of the 26 proof-of-concept grants
funded through this programme, over 10
new companies will be created in Colo-
rado from technologies within the state
research institutions. CBSA followed
Denver, main city of Colorado and home to the Colorado BioScience Association.
“Colorado began
this century with many
of the ingredients of a
successful bioscience
cluster”
16 technologies
advanced each year
The experience of several companies
highlights the impact of a strong, uni-
fied, and aggressive industry association.
Sierra Neuropharmaceuticals, located in
Aurora, CO, was co-founded by Daniel J.

2. e u r o p e a n l i f e s c i e n c e j o u r n a l n N O 4 / 2 0 0 8 n 63
through the next year at the legislature
and was successful in getting funds for the
next stage of development — early-stage
companies.
To date, six companies have received
matching grants up to USD 250,000. For
example, Apoplogic, a company co-found-
ed by Richard Duke, PhD, and located in
Aurora, CO received one of these grants.
The company is focused on the discovery,
development, and commercialisation of
therapeutic products that target apoptotic
cell death pathways found in cancers, leu-
kaemias, and lymphomas.
Advanced MicroLabs is a chemical ana-
lytical instrumentation company dedicat-
ed to pioneering microchip measurement
techniques. Dr. Charles Henry, professor,
Colorado State University in Fort Collins
is one of five co-founders at the company,
which has received USD 1.7 million of ex-
ternal funding.
There is a definite theme in all of these
examples. New state programmes, ad-
vanced by CBSA, are dedicated to strate-
gic funding gaps that have prevented the
successful commercialisation of research
technologies discovered at Colorado insti-
tutions. These first two programmes have
been so successful that in 2008, the State
www.kuopioinnovation.fi
Centre of Expertise in Health,
Environment and Wellbeing
Kuopio Innovation Ltd, P.O.Box 1188, FI-70211 Kuopio, Finland
K U O P I O
Legislature, with the support of Governor
Bill Ritter, Jr., extended these programmes
for the next five years at funding for a total
of USD 26.5 million. A minimum of 16
technologies will be advanced every year
that would not have had resources without
this legislation. It is fair to say that these
developments, which are significant by any
measure, would not have emerged without
the CBSA coordinating the industry sec-
tor, economic development agencies, uni-
versities, and others to make the case for
the investments.
Key bioscience industry indicators exceed national average growth rates in Colorado.
Photo shot near Ward, Boulder County. © Wikimedia.

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US
CLUSTER More than 18,000 Coloradoans
find themselves walking into work each day
discovering life saving therapies, creating in-
struments that will revolutionise healthcare
and advancing current medical practices and
techniques. For these Coloradoans, life is good
because their jobs directly improve the quality
of life. These are the people of Colorado’s ex-
panding bioscience industry.
Bioscience is no longer an emerging indus-
try in the state. Colorado’s bioscience industry
began just over 20 years ago and today has be-
come one of the state’s crown jewels, an eco-
nomic driver that is vital as the state and nation
work to recover from the current economic
crisis. The sector spans more than 460 estab-
lished and emerging bioscience companies
across the state, with strong clusters of activ-
ity found throughout the state’s metropolitan
areas. Attracting more than USD 300 million
in venture capital investment in the last five
quarters, and in 2008 Colorado was ranked
fourth in the nation for bioscience venture
capital funding.
Key to the industry’s growth in Colorado
is proven success in nurturing and supporting
its academic research institutions to advance
bioenergy, electronic medical devices and phar-
maceutical biotechnology platforms. Refining
the technology transfer process from the labo-
ratory to the business world has been critical
in making Colorado’s bioscience industry a
world-class player.
The University of Colorado, Colorado
State University, University of Northern Colo-
rado, National Jewish Health, Bonfils Blood
Center, University of Denver and the School
of Mines each showcase the various talent and
innovation being conducted in Colorado. The
academic medical research and development
grew more than 72% from 2002 to 2006,
which is nearly twice the national average.
These research institutions spin out new com-
panies and entrepreneurs on an unprecedented
level, keeping Colorado on the leading edge.
The University of Colorado system, CU,
has four campuses spread across the state, and
each specialises in varied areas of bioscience re-
search. The Technol-
ogy Transfer Office
at CU has certainly
been busy over the
last couple of years,
producing about
10 new bioscience
companies each
year. Colorado State
University, CSU, has
also made significant
investments in their
technology transfer
and commerciali-
sation functions.
CSU has produced
13 new companies
since 2002, with more companies in the pipe-
line. In January of 2006, CSU began a new
endeavour in their technology transfer efforts,
the Supercluster, which will try to align CSU’s
strengths with local industry to foster regional
economic development.
Significant increase of M&As
As Colorado bioscience companies have dem-
onstrated success, the level of merger and ac-
quisition activity has increased significantly.
Larger national and global companies are seek-
ing to capture the technology developed by the
smaller Colorado firms, and these firms have
continued or expanded their operations in the
state.
In 2006, Myogen was acquired by Gilead
for USD 2.6 billion. Gilead, a biopharmaceu-
tical company that discovers, develops, manu-
factures and commercialises therapies for viral
disease, infectious disease and cancer chose
to locate their cardiopulmonary research and
clinical development in Colorado. Dharmacon
RNAi Technologies was created as a subsidiary
of Thermo Fisher Scientific when Dharmacon
Inc., a company that started in Colorado in
1995, was acquired by Fisher Scientific Inter-
national. Fisher Scientific International con-
tinued the Thermo Fisher Scientific operations
in the state. Merck has acquired two Colorado
companies since 2006, Sirna Therapeutics and
Insmed, and have since remained in Colorado.
Colorado has also seen many companies
move their operations to the state. Colorado-
based Valleylab became a division of Tyco
Healthcare Group in 1998, and Tyco Health-
care Group subsequently relocated its Respi-
ratory and Monitoring Solutions unit from
California to Colorado. Tyco Healthcare
Group spun off as Covidien in 2007, with a
USD 20 billion market capitalisation and have
since added employees to their Colorado op-
eration. GambroAB, a Swedish company, spun
off Colorado-based GambroBCT Inc., today
known as CaridianBCT Inc., making it the
largest medical device manufacturer headquar-
tered in Colorado. CaridianBCT has world-
wide revenues approaching USD 500 million
with 2,300 employees, 1,800 of which are
based in Colorado.
As the future unfolds for Colorado’s bio-
science industry, it is undeniable that Colo-
rado’s future is bright. With more companies
moving operations to Colorado and new com-
panies forming within the state, Colorado is
becoming known as an international name in
the biosciences.
Colorado Bioscience
Expanding
world-class technologies
Beginning over just 20 years ago, bioscience is no longer an emerging industry in Colo-
rado. The sector spans more than 460 companies across the state and attracted USD
300 million in VC investment in the last five quarters.
“Colorado has also seen
many companies move their
operations to the state”
The bioscience sector spans more than 460 established and emerg-
ing companies across Colorado, with strong clusters of activity found
throughout the state’s metropolitan areas.

4. 64 n e u r o p e a n l i f e s c i e n c e j o u r n a l n S p r i n g 2 0 1 0
US
CLUSTER Colorado’s research institutions
have grown in capacity and have been able to
sustain this growth through the support of new
endeavours. The University of Colorado System,
which spreads across the state in four campuses,
produces an average of 10 new bioscience com-
panies each year. This impressive number con-
tinues to grow. What makes the University of
Colorado stand out is the innovative projects
underway to support and assist this growth.
The Colorado initiative
The University of Colorado at Boulder has
recently engaged in the creation of the Colo-
rado Initiative in Molecular Biotechnology
(CIMB). The CIMB project is lead by former
Howard Hughes Medical Institute President
and Nobel Laureate Dr. Thomas Cech and it
will modernise the way research is being con-
ducted at the university today. The institute
will take on an interdisciplinary approach
while pursuing breakthroughs in genomics,
proteomics, molecular and cellular imaging,
biophysics, mathematical analysis, materials
engineering and chemical synthesis.
While the CIMB will encourage discov-
eries and inventions to solve complex medi-
cal problems, it will also provide a focus on
core research techniques. Combining these
sciences in an interdisciplinary approach will
allow and encourage collaborations between
disciplines in both teaching and research.
The project will work to show the full process
from research to commercialisation by engag-
ing both business and science majors to reach
across the boundaries so students understand
the science, entrepreneurialism and business
aspects of the bioscience industry.
Colorado Science
+ Technology Park
Boulder isn’t the only University of Colo-
rado campus in the state to encompass a
thriving bioscience industry. Aurora’s Fitzsi-
mons Life Science District is likely the most
internationally recognised area in Colorado
for bioscience research. The 570-acre campus
includes a partnership between the Colorado
Science + Technology Park at Fitzsimons,
the Children’s Hospital, the Veterans Affairs
Hospital and the Anschutz Medical Campus,
which includes the University of Colorado’s
Health Sciences Center and University of
Colorado Hospital. This is a breeding ground
for innovation, allowing students, hospitals,
research and business to interact productively.
Specific to bioscience, the Colorado Science
+ Technology Park is dedicated to the success
of life-science companies within the state. The
Park has two bioscience incubator buildings,
which allow 30 bioscience start-up companies
to house here and conduct research and busi-
ness. The two buildings offer state of the art
lab facilities, virtual office space locations, and
a business development programme to ensure
the success of their start-up companies.
Fort Collins’ RIC & RMI2
Further, to the north of Denver, is Colo-
rado State University (CSU) in Fort Collins,
another hotbed of bioscience research and
innovation. CSU is known globally for their
research in veterinary medicine, but over
the years they have become increasingly rec-
ognised for their overall research in the bio-
sciences. On the west side of the campus is the
CSU Foothills Campus, which is where much
of this research is taking place.
Over the last few years, the growth of the
Foothills Campus is extensive and exciting.
The 72,000 square-foot Research Innovation
Center (RIC) is one addition attracting ma-
jor attention. It will house both university re-
search and serve as an incubator for assisting
start-up companies. The centre bridges the
gap between research and business, encourag-
ing collaboration between the two.
The Rocky Mountain Innovation Initiative
(RMI2), also located in Fort Collins, offers an-
other great opportunity for companies located
in the Northern Colorado area. The RMI2 is a
not-for-profit organisation providing start-up
companies with incubator space, business ad-
visors, marketing assistance, entrepreneurial
resources, and collaboration opportunities.
This will allow start-up companies spinning
out of CSU Research to find business exper-
tise and a cost-effective space for their com-
pany right in their own back yard.
CID4
The newest endeavour in Colorado is a
statewide initiative entitled the Colorado Insti-
tute for Drug, Device and Diagnostic Devel-
opment (CID4). The non-profit institute will
work statewide and help bridge the gap between
discovery and commercial market success for
a bioscience company. The CID4 will provide
early-stage life science technologies with an ex-
perienced management team to help create busi-
ness plans, manage the product development
process, and create funding strategies through to
commercialisation. This collaboration includes
partnerships between the University of Colo-
rado System, Colorado State University and the
Fitzsimons Redevelopment Authority.
Across the state of Colorado there is con-
stant work and research being conducted in
the bioscience industry. While Colorado’s
bioscience research and companies keep grow-
ing, building a strong foundation is essential,
and for Colorado’s bioscience community the
foundation is definitely secure.
LEAH KIENTZ
Director of Public Policy and Programming
Colorado BioScience Association
Colorado’s bioscience industry
boasts a strong infrastructure
Buildings that encompass a city would crumble without a strong foundation, and a great
industry community requires the same sturdy infrastructure. The Colorado bioscience com-
munity has a strong infrastructure supporting it, but over the last year that foundation has
become even stronger.
Aurora’s Fitzsimons Life Science District is likely the
most internationally recognised area in Colorado for
bioscience research.
“For Colorado’s bio-
science community the
foundation is definitely
secure”