Anti-aging companies may face a few disadvantages when it comes to funding. For example, aging is not yet classified as a disease, and anti-aging technology is still at an early stage. However, at the root of longevity is one of humankind’s oldest desires. Investing in anti-aging businesses is viewed by wealthy investors and ordinary people alike as one of the most lucrative investments, as a way to impact our society, and as a way to access this technology. Funding for anti-aging companies is increasing both in number and size. There are some very enthusiastic key investors. Ordinary people are also showing their support through crowdfunding.
Trends in traditional funding
Funding for anti-aging companies has been increasing in terms of both the number of deals (funding agreements) and the amount of funding. The number of deals increased from 11 in 2013 to 37 in 2017, and to 50 in 2019. The numbers dropped slightly to 36 in 2020; however, we are likely to see a comeback in 2021, given that ten deals have already been announced in the first quarter of 2021.
At the same time, the volume of funding has also tripled. The total amount of funding (including pre-seed, grand, VC series, debt financing, and post-IPO equity) jumped from over US$200 million in 2013 to over US$700 million in 2020. In the first quarter of 2021 alone, already more than US$250 million in funding has been provided to anti-aging companies. The huge jump in funding amounts in 2016 and 2018 are due to several mega-deals, such as Samumed’s 2018 Series B round of US$438 million and BloRock Therapeutics’ 2016 Series A round, which brought in US$225 million for the company.
Key investors
Although preventing aging has been always a dream for humanity, modern anti-aging biotechnology is still at an early stage. Venture capital (VC) firms have been cautious to invest in early-stage research because it is very challenging to assess the value of this kind of research. This is all the more true in the field of the biotechnology and pharmaceutical industry, where the clinical trial results are often unpredictable. However, there are also investors, including VC firms, biotech companies, and wealthy individuals who firmly believe that technology can help us live past age 100, or even 1,000. “This is the biggest money fountain that I have ever seen,” wrote British investor Jim Mellon in his book Juvenescence.19 Below is a list of five key investors who have more than three anti-aging start-ups in their portfolios.
Crowdfunding
Traditionally, aging is considered a natural process and not classified as a disease. It is therefore difficult for researchers to receive public or private funding, which is mostly directed toward defined diseases. In 2015, a group of researchers stated that “It is time to classify biological aging as a disease.”20 In 2018, the World Health Organization added an extension code for “aging-related” as a cause for diseases.21 This could be the beginning of recognizing aging as a disease.
An alternative way for anti-aging start-ups to get financial backing is through crowdfunding. Humanity’s obsession with curing aging and death can be traced back at least to the Epic of Gilgamesh, composed before 1800 B.C.22 Today, there is no shortage of enthusiastic people who are willing to donate a small amount of money for aging research. Millions are raised every year by funds such as the SENS Research Foundation and Lifespan.io to support research on aging. Of the 150 anti-aging companies in our list, two are listed as crowdfunded.
Click to view the Supertrends anti-aging company database
References
19. Mellon J. and Chalabi A. Juvenescence. (Fruitful Publications, 2017), Page 8. https://www.juvenescence-book.com/
20. Bulterijs S, et al. It is time to classify biological aging as a disease. 2015. Front Genet. 2015;6:205. doi:10.3389/fgene.2015.00205
21. World Health Organization. ICD-11 for Mortality and Morbidity Statistics. 2020. https://icd.who.int/browse11/l-m/en#/http%3a%2f%2fid.who.int%2ficd%2fentity%2f459275392
22. Renstrom J, Is aging a disease? Future Tense. March 02, 2020, https://slate.com/technology/2020/03/aging-disease-classification.html