Life Science Accelerator IndieBio to Open in NYC in 2019

NEW YORK CITY—Governor Andrew M. Cuomo’s office wants to compete with states “that are actively poaching top life science research talent from New York.”

As one measure, Empire State Development has chosen IndieBio, a leading bio-accelerator, to jumpstart early-stage life science companies. The company will open in New York City in 2019. It will provide life science start-ups with tools, resources, expertise and networks to commercialize their discoveries. Venture capital firm SOSV, headquartered in Princeton, NJ, runs the company.

IndieBio was selected through a competitive, state-sponsored RFP. “New York is proud to be on the forefront of science and technology, creating jobs, driving economic growth and spurring cutting edge research and development,” says Gov. Andrew M. Cuomo. “By welcoming IndieBio to New York, we are taking a major step forward to ensure that this state remains a global leader for the rapidly growing life science industry.”

The state will invest up to $25 million over five years through its Life Science Initiative to support IndieBio’s program. The accelerator will focus on moving scientific discoveries from the lab into the marketplace. It will provide New York’s research talent with business skills in developing commercially viable products, with access to critical resources. In return, the expectation is for IndieBio to invigorate economic growth.

New York has been diversifying its economy, investing in and developing its biotech sector. Experts have identified key opportunities and challenges for, and the necessity of involving the real estate industry.

IndieBio will work with 20 early-stage companies each year. SOVC will invest up to $2 million in each company, in total investing over $70 million across all companies. The Partnership Fund for New York City has also committed to investing $10 million to encourage companies to locate in New York.

Based in San Francisco, IndieBio has helped more than 90 companies get off the ground and has built a network of more than 100 expert mentors. Founded three years ago, companies in its programs have raised more than $100 million in venture capital funding and created more than 400 jobs.

SOSV partner and IndieBio managing director, Arvind Gupta notes the vast amount of untapped potential in New York. “The challenge will be galvanizing that ecosystem and having it believe there is a new way of starting bio-tech companies that can be lower cost, faster to market,” he says.

IndieBio will support potentially life-saving scientific breakthroughs while creating jobs, spurring investment and advancing human health, says Empire State Development president, CEO and commissioner Howard Zemsky. He sums up the program as providing the tools “to turn discoveries into commercially viable treatments and therapies that address real medical needs, while generating jobs and growing our economy.”

In the FY 2018 budget, New York State enacted a $620 million initiative to develop an internationally leading life science research cluster in New York that would also commercialize research. The plan includes a $100 million expansion of the Excelsior Jobs Program tax credit to the life sciences sector, $100 million for a life sciences research and development refundable tax credit program and $320 million in other investments. This includes state capital grants to support the development of wet labs and innovation spaces, and investments in early stage companies which leverage an additional match of at least $100 million from the private sector.

The president and CEO of Partnership for New York City, Kathryn Wylde, has commended the Life Science Initiative noting New York City is on its way to surpassing Boston and Silicon Valley in becoming the US global hub for biotech.