In 2007, 308 life science companies worldwide made use of nanotechnology knowledge in their processes, products or technologies. 58 per cent of them are "nano-based". In other words, 50 per cent or more of the portfolio of each company consists of nano-products or nanotechnologies.  

21 per cent of all these life science companies worldwide are based in Germany. In respect of Europe, this figure is even 60 per cent. Their portfolios cover five different areas of application: active-substance transportation, diagnostics, therapeutic systems, medical materials and implants, analytical materials and instruments (see illustration).   

From a global point of view, active-substance transportation involves the most nano-products whereas in Europe this accounts for only 8 per cent of the total (U.S.: 16 per cent). In all other areas, companies in Europe account for the larger share, above all in the case of analytical materials and instruments (Europe 21 per cent; U.S. 17 per cent). The following demand curves are based on estimates made by Freedonia and Ernst & Young and relate to the U.S. market. However, it can be assumed that they are applicable to Europe as well.

Nano-based life science companies work close to the market. Worldwide, 73 per cent of them are privately owned. Due to concentration on areas other than human medicine (e.g. in the case of diagnostics), they have relatively short development times. As a result of the focus on supplying components, providing method-related services or instruments of analysis (e.g. biosensors), many of them enjoy a positive cash flow. What is typical of these usually small and medium-sized companies is their mix of financing. In contrast to life science companies with less than 50 per cent nano-products, the nano-based companies examined obtain 52 per cent of their capital from holdings (not nano-based: 0%), 27 per cent from internal financing (not nano-based: 83%), 6 per cent from grants and the rest from other sources.

One example is Nanocraft GmbH which is located in Engen near Constance and was established in 2001. Depending on its customers' wishes, it provides a wide range of services and coating products. Its customers include pharmaceutical and chemical companies such as Altana (now called Nycomed) and BASF as well as companies in the jewelry and automobile industries. In 2005, Nanocraft recorded sales of 148,000 euros, tendency upwards. One year later, the Dutch company Nanoventure bought shares in Nanocraft thus enabling the company to expand. In 2007, the company is expected to achieve a turnover of 4.5 million euros.  

In spite of the small number of life science companies active in the nano area, the Ernst & Young study already records 154 products on the market – both for the consumer and for industrial customers. The sales being achieved worldwide in the nanotechnology market are comparable with those in the biotechnology sector. However, observers feel that the greater growth rates will be in the market for nanotechnology.

Source: BIOPRO Baden-Württemberg GmbH