Core Insights - The prolonged slowdown in biotechnology startup funding has created opportunities for corporate venture firms to invest in privately held companies [1] - Corporate venture activity has surged in 2025, with firms like Novo Holdings, Eli Lilly, and Sanofi being among the most active investors [2][3] Corporate Venture Activity - Novo Holdings has participated in 18 private venture rounds in 2025, leading among tracked firms, while Eli Lilly and Sanofi Ventures have each contributed to 13 rounds [2] - Corporate venture investors are increasingly important to the biotech ecosystem, with many pharmaceutical companies, including Pfizer, Novartis, Roche, and Johnson & Johnson, having venture arms that fund early-stage life science companies [3] Funding Sources and Strategies - Unlike traditional biotech investors, corporate venture arms utilize capital from their parent corporations, allowing for a long-term investment strategy rather than a focus on quick returns [4] - Companies like Lilly and Novo Nordisk have gained significant revenue from their GLP-1 medicines, providing them with more capital for investments [5] Market Dynamics - The presence of corporate venture firms enhances the attractiveness of young drug companies to other investors, with a report indicating that at least 70% of biopharma IPOs since 2022 included a corporate venture investor, all raising at least $50 million [6]