In new data published by the BioIndustry Association (BIA) and Clarivate, UK biotech companies reportedly raised over £1bn in equity finance between June and August 2020.

This makes it the highest quarter for investments in the sector on record and puts the sector on track for its best year ever recorded.

The new report showed that £119m was raised through the year’s first Initial Public Offering, with a further £282m raised through Venture Capital.

Another £601m was raised through other public financings on both London and New York exchanges, demonstrating that biotech share prices continue to perform well on both sides of the Atlantic.

Some notable investments included Freeline Therapeutics, which topped investments with a £119m IPO on NASDAQ and NodThera, which raised £41m in a series B venture capital deal.

“In a year where COVID-19 has caused major disruptions to the global economy it is fantastic to see the strong investment picture for UK biotech continue to gather pace,” said Steve Bates, chief executive of the BIA.

“This strong performance is testimony to the long-term support for life sciences delivered by successive government's industrial strategies, which have identified the sector as a key engine for economic growth. UK institutional and private investors cannot continue to miss out on this rich source of value creation.

“By building expertise in this sector, a virtuous revolving door can be created where UK institutional and retail investors insightfully support growth opportunities over the medium to longer term, see the returns, and keep coming back for more,” he added.