The Massachusetts Life Sciences Center ("Center") is a quasi-public agency of the Commonwealth of Massachusetts, created by the Massachusetts legislature in June 2006. The MLSC is closely affiliated with the Executive Office of Housing and Economic Development but is not subject to its direct supervision or control. The Center was established to promote the life sciences within the Commonwealth of Massachusetts. It is tasked with investing in life sciences research and economic development. This work includes making financial investments in public and private institutions growing life sciences research, development and commercialization as well as building ties between sectors of the Massachusetts life sciences community.

1. The Massachusetts Life Sciences Center
Science Shaping Our World
January 17, 2013
Dr. Susan Windham-Bannister,
President & CEO
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2. Overview
 About the Massachusetts Life Sciences
Cluster
 Trends and Challenges Driving the Need for
Innovation
 The Massachusetts Life Sciences Initiative: A
Strategic Investment in the State‟s Innovation
Ecosystem
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3. About the Massachusetts Life Sciences
Cluster
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4. Massachusetts: The Global Leader in Life Sciences
The Massachusetts Life Sciences Cluster:
 The world‟s leading innovation pipeline: #1 Life Sciences Cluster (Jones
Lang LaSalle), and #1 in biotech construction (Richards Barry Joyce)
 World-class academic and medical institutions leading the way in life
sciences research
 A talented workforce
 Business-friendly Infrastructure (International airport with 40 airlines,
regional rail service, mass transit and five deepwater ports)
 All industry sectors -- biotechnology, pharmaceuticals, medical devices,
diagnostics and bioinformatics
 Government leadership, through our state‟s 10-year, $1 billion Life
Sciences Initiative (enacted by the Massachusetts Legislature in June 2008)
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5. Life Sciences are Critical to Our Economy
 Over 80,000 Massachusetts employees
work in the life sciences sectors* 2011
 Total employment in the Massachusetts
life sciences sectors continues to grow 53,253
despite a challenging economy
42%
Growth
Since
2002 2002
37,490
Employment growth in the
MA biopharma sector
*excludes health care delivery
Source: U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages (QCEW)
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6. Massachusetts‟ Venture Capital Dollars Encourage
Company Start-ups
Percentage invested
In 2010, at Start-up/Seed
Massachusetts Stage
25 5.4%
biopharma companies 23.1 2002
received nearly one- 20.8
quarter of all U.S. VC 19.5
20
biotech investment –
16.9
an all-time high. 15.9
15
Percentage
Massachusetts‟ 12.0
4.8%
2006
medical device firms
received 12 % ($286 10
million)
The percentage of 5
investments in start- 2010 21.9%
up and seed stage
companies has 0
increased 2000 2002 2004 2006 2008 2010
dramatically
Source: 2010 PricewaterhouseCoopers, National Venture Capital
Association, MoneyTreeTM Report, Historical Trend Data, MassBio analysis.
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7. The Massachusetts Drug Pipeline Will Help Improve
Global Health
Massachusetts Pipeline, by Therapeutic Area
Drugs in development in
Massachusetts address
nearly every therapeutic area
– especially oncology
Therapeutic Area Candidates
Genito-Urinary 19
Respiratory 19
Blood 25
Endocrine 29
Dermatology 33
Gastro-Intestinal 36
Sensory Organs 36
Cardiovascular 42
Musculoskeletal 46
Various 57
Central Nervous System 130
Systemic Anti-infectives 134
Oncology 349
Total (R&D) 955
Source: EvaluatePharma®
Courtesy of MassBio Industry Trade Association 2012 6

8. Why is Massachusetts So Successful in Life
Sciences?
Life sciences innovation
thrives in 500
430+
Massachusetts because
Biopharma
Biotech
of the great Companies 400
concentration of Medtech
universities, research 122
122 Companies
hospitals, educated Colleges &
Universities
Universities
workers, entrepreneurs,
mature companies and a
strong investment Top5
Top
5
community. NIH funded
st NIH funded
1 in Research
Research
Educational
Education Hospitals
Level of 1st in Hospitals
workforce (US)
Workforce Venture Capital
& SBIR funds
federal research
per worker
funds per worker
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9. Trends and Challenges Driving the Need
for Innovation
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10. Current Trends and Challenges Create Market Needs
Market Trends/Challenges Market Needs/Opportunities
 MA Health Reform “2.0”  Combination Products
 U.S. National Health Reform (ACA)  Collaborations and Consortia
 Pressure on Reimbursement  Demonstrating Clinical Value to
 New Models of Provider and Payor Support Drug Commercialization
Organization  Genomics
 Threats to Research Funding from
U.S. Federal Agencies (e.g., NIH)  Informatics
 Population Demographics  Mid-level Skill “Solutions”
 Re-shoring to U.S. of Advanced  Open Innovation
Manufacturing  Personalized Medicine and Cell
 “Broken” Model of Drug Discovery Tx
and Development  Point of Care Diagnostics and
 Emerging Markets and Disease Devices
Profiles
 Regulatory Changes  Remote Sensing and Monitoring
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11. “Big Pharma” Faces Significant Challenges
 Drug pipelines are running dry
 Many “blockbuster medicines” are about to lose patent
protection
 Traditional drug-development processes at big pharma are
expensive and inefficient
 Models have not changed significantly from the late nineteenth century --
synthesize and screen thousands of compounds in search of a few new
drug candidates
 The traditional business model at big pharma also is
expensive and inefficient:
 Identify promising new blockbuster drugs
 Conduct large, expensive clinical trials
 If successful, promote the drugs with extensive marketing and sales
presence in developed countries
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12. Manifestations of the Problem
 Internally developed pipeline productivity at big pharma
has decreased significantly -- averaging one new molecular
entity a year per company
…And…
 The cost of bringing a new drug to market has continued to
rise -- currently estimated to exceed $1 billion
……But……
 The timeline for developing and getting a drug to market
has not declined -- can take as long as 15 years
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13. Current Challenges and Opportunities are Creating
an “Innovation Crisis”
How do we get “better” at innovation:
 Pace
 Cost and Risk Reduction
 Success Rates
 Significant Breakthroughs
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14. The Massachusetts Life Sciences
Initiative: A Strategic Investment in the
State‟s Innovation Ecosystem
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15. The Role of State Government is Both Financial and
Collaborative
The Innovation Process
Discovery Development Delivery
The Strategy:
Targeted initiatives to strengthen, support and promote highly functioning
ecosystems in our key innovation sectors
ROLE OF STATE AGENCIES AND QUASI-PUBLIC AUTHORITIES:
 Funding
 Workforce development
 Technical Assistance
 Convening and collaboration
 Partnerships
 Build capacity and infrastructure
 Market development
 Research and policy
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16. The Massachusetts Life Sciences Initiative
 Announced by Governor Deval Patrick at BIO in Boston June 2007
 Enacted by the Massachusetts State Legislature and signed by Governor
Patrick in June 2008
 Announced at BIO in San Diego June 2008
 10-year, $1B investment in the Massachusetts life sciences cluster:
Sectors Stakeholders
• Biotech • Academic Institutions
• Pharmaceuticals • Industry
• Medical Devices • Industry Associations
• Diagnostics • Investors
• Bioinformatics • Medical Centers
• Non-profit Research Institutes
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17. The Massachusetts Life Sciences Center:
Who We Are and What We Do
The Massachusetts Life Sciences Center
develops and offers creative programs that
fund innovation-driven economic
development initiatives in the Massachusetts
life sciences cluster, but also may have
relevance for other “innovation” sectors.
Mission:
 Serve as the “hub” of the Massachusetts life sciences
Supercluster
 Encourage innovation through investments in good science and
good business
 Strengthen and protect Massachusetts‟ global leadership position
in the life sciences
 Accelerate the commercialization of promising treatments,
therapies and cures
 Create jobs and drive economic development
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18. The MLSC‟s Overall Strategy is to Invest in Gap
Closure Across the Innovation Life Cycle...
Discovery Development Delivery
The MLSC Strategy:
Fund targeted initiatives that reduces barriers, fill gaps and promote
collaboration across the life sciences innovation process.
Enable MA to “innovate how innovation occurs!”
• Promote and fund convening and collaboration
• Partner with and leverage private sector stakeholders
• Invest in early stage companies (pipeline and external innovation)
• Support workforce development and training
• Build capacity, infrastructure and unique resources in Massachusetts
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19. …and Coalesce the Massachusetts Life Sciences
“Cluster” into a “Ecosystem”
In a high
500
430+
performing
Biopharma
Biotech
innovation clusters Companies 400
these components 122
122
Medtech
Companies
work well Colleges &
Universities
Universities
individually and
together as an
Top5
Top
5
ecosystem st
NIH funded
NIH funded
1 in Research
Research
Educational
Education Hospitals
Level of 1st in Hospitals
workforce (US)
Workforce Venture Capital
& SBIR funds
federal research
per worker
funds per worker
MLSC
Investments
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20. MLSC Investment Tools and Programming Budget
• 10 years
• $1 billion
Investment
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21. The MLSC Board of Directors
 Secretary of Housing and Economic Development
 Gregory Bialecki
 Secretary of Administration and Finance
 Glen Shor
 President of the University of Massachusetts System
 Robert Caret, Ph.D.
 A CEO of a Massachusetts-based life sciences corporation
 Abbie Celniker, Ph.D., CEO, Eleven Biotherapeutics
 A researcher involved in the commercialization of biotechnology,
pharmaceuticals or medical diagnostic products
 Lydia Villa-Komaroff, Director and CSO, Cytonome/ST
 A physician licensed to practice medicine in the Commonwealth and
affiliated with an academic medical center
 Edward Benz, M.D., President & CEO, Dana-Farber Cancer Institute
 A person with financial expertise in the life sciences
 Joshua Boger, Ph.D., Founder & CEO (Retired), Vertex 20

22. The MLSC Scientific Advisory Board FY „13
CHAIR: Harvey Lodish, Ph.D.,
Whitehead Institute, and Professor of Biology and of Bioengineering, MIT
Academia Venture Capital
• Gary Borisy, Ph.D., • David Walt, Ph.D., • T. (Teo) Dagi, M.D., M.B.A.
Director and CEO, Marine Biological Robinson Professor of Chemistry
Laboratory and Howard Hughes Medical Partner, HLM Venture Partners
Institute Professor at Tufts • Jonathan Fleming, M.P.A., Managing
• James J. Collins, Ph.D., University School of Medicine
Professor of Biomedical General Partner, Oxford Bioscience Partners
Engineering, Boston University • Philip Zamore, Ph.D., • Carmichael Roberts, Ph.D., M.B.A.
• John M. Collins, Ph.D., Professor, Biochemistry and Partner, North Bridge Venture Partners
COO of Center for Integration of Molecular Pharmacology,
UMass Medical School • Lauren Silverman, Ph.D.,
Medicine & Innovative Technology Managing Director of Novartis Option Fund
(CIMIT)
• Robert D‟Amato, M.D., Ph.D.,
Judah Folkman Chair in Surgery Entrepreneurs
and Director, Center for Macular
Degeneration Research , Harvard
Medical School and Boston • Alison Taunton-Rigby, Ph.D.
Children’s Hospital CEO, RiboNovix, Inc.
• Rainer Fuchs, Ph.D.,
Chief Information Officer, Harvard Industry
Medical School
• Richard A. Goldsby, Ph.D., • James Barry, Ph.D., • Alan Smith, Ph.D.
John Woodruff Simpson Lecturer Executive Vice President & COO, Arsenal Former Chief Scientific Officer,
and Professor of Biology, Amherst Medical
Genzyme a Sanofi Company
College
• Dalia Cohen, Ph.D.,
• Lita L. Nelsen, Founder and President, ALN Associates
Director, Technology Licensing • Dale Larson, Director of Biomedical
Office, Massachusetts Institute
of Technology Systems, Draper Laboratory
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23. The “Bottom Line”
Life Sciences Center‟s Impact: June „08 – December „12
Matching Investments
Attracted
= $1.02B
Job Potential
= 8,754
• Corporate
Investors
Public Dollars Invested/
Committed • NIH • Permanent
= $312 M 3 X multiplier
• Private
Foundations
Grants to Academic
Organizations and • Institutes
Medical Centers
• Other Private
Grants for “Shovel Investors
Ready” Capital • Building Trades
Projects • Academic
Institutions
Investments in
Life Sciences
Companies
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24. Strengthening our World Class Academic Institutions
Life Sciences Center Research Matching Grant Program: accelerating the
translation of treatments and therapies “from the research bench to the
bedside”
 Supporting promising scientific research ($13.6 million - matched
dollar for dollar)
 Funding 21 new investigators ($5.1 million)
 Helping five universities and academic medical centers compete for
top faculty ($3.75 million)
 Funding research collaborations between eight industry and academic
partners ($4.8 million)
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25. Helping Life Sciences Companies Grow
Accelerator Program: Tax Incentive Program:
 Working capital for early-stage life  Incentives for companies to locate and grow
sciences companies jobs in Massachusetts
 $15.1 million in loans awarded to  Center can commit up to $25 million/year
twenty –four early-stage companies
 Companies commit to creating a certain
SBMG Program: number of jobs in the year following award
 Funding to match federal small Fifty-four (54) active awards totaling $56.7
business grants (SBIR & STTR) million to companies that have created or are
promising to create more than 2,000 jobs.
 $4 million awarded to eight life sciences
companies
Business Plan Competitions:
 Mass Challenge - $100,000 sponsor
MIT $100K Competition - $10,000
sponsor
Boston University - $5,000 sponsor
Worcester Polytechnic Institute - $5,000
sponsor
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26. Supporting Workforce Development in the Real World:
Internship Challenge Program
Objective: Increase interest , skill development and employment
readiness for life sciences careers by providing “real world” experience
 Funds interns working at
Massachusetts companies with
fewer than 100 employees
 Nearly 1,000 interns
representing 117 different
colleges and universities have
been placed at 307 companies
across the state
 More than 160 participating
interns have been offered full or
part-time jobs at the conclusion
of their internships
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27. Supporting Workforce Development in Classrooms:
Equipment & Supplies Program for Skills Training and
Education
 MLSC program for:
 Vocational technical schools
 Community colleges
 Workforce training organizations
 Awards grants of up to $250,000 per
institution for equipment and supplies
that support life sciences training
 Industry match is required for funding
above $100,000
 First round of awards made Feb 23,
2011, Second round December 19, 2012
 Awards made to 63 institutions across Dr. Susan Windham-Bannister, Ph.D., President & CEO,
Massachusetts Life Sciences Center, and Lt. Governor Tim
Massachusetts; $6.6 million investment Murray observe a biology student checking results from an
experiment at Nashoba Valley Technical High School in
 Over $1 million in additional “matching” Westford, where the second round of equipment and supply
matching grants from the MLSC was announced on Dec. 20,
funds provided by industry sponsors 2012.
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28. Making Massachusetts “Life Sciences Ready”
 To date the Center has committed $194M to twelve capital projects
 Wastewater Project at Framingham Technology Park
 Renovation of the Loeb Lab at the Marine Biological
Laboratory
 New England Regional Biosafety Laboratory at Tufts‟
Cummings School of Veterinary Medicine
 The Albert Sherman Center at the University of
Massachusetts Medical School
 Gateway Park in Worcester
 Joint Center for Personalized Cancer Therapy at
UMass Boston
 UMass Dartmouth Biomanufacturing Center
 Dana-Farber Molecular Cancer Imaging Center
 Joslin Translation Center for the Cure of Diabetes
 Museum of Science Boston “Hall of Human Life”
 UMass Lowell Emerging Technologies and
Innovation Center
 Massachusetts Accelerator for Biomanufacturing
(MAB) 27

29. MLSC Investments Have Contributed to the State‟s
Abundant Laboratory Space….
Life Sciences Center investments have helped fund the creation of
more than one million square feet of new laboratory and
manufacturing space.
18,437,000
17,800,000
Since 2007,
nearly 2.4 16,780,000 17,021,000
million
square feet of 16,064,000
commercial
lab space has
been added
to the state‟s
inventory
through new
construction
and
renovations
2007 2008 2009 2010 2011
Source: Colliers Meredith & Grew, Life Science Review, 2007-2011
Courtesy of MassBio Industry Trade Association 2012
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30. …and Incubator Space to Support the Growth of New
Life Sciences Companies Across the State
Tufts University
Biotechnology Transfer
Center
M2D2 at
UMass Boston
Massachusetts
Biomedical
Initiatives
Cape Ann Business
Incubator
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31. MLSC Neuroscience Consortium (launched June 2012)
Objective: Create a pioneering new model of collaboration designed to
leverage Massachusetts’ rich neuroscience environment to:
 Accelerate pre-clinical research available to the pharmaceutical industry
 Introduce academic researchers to targeted research
 Facilitate new models of industry-academic partnership
 Massachusetts‟ basic neuroscience, translational, and clinical research
distributed across more than a dozen world-renowned institutions
amounts to what may be the highest density of neuroscience research
in the world.
 Neuroscience Consortium Charter members:
 Abbott  Merck
 Biogen-Idec  Pfizer
 EMD Serono  Sunovion (Dainippon
 Janssen Research (Johnson and Sumitomo)
Johnson)
First Solicitation for Proposals was Released
September 24, 2012. Nearly 100 proposals received!!
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32. International Pre-Commercialization Program
Objective: Promote late stage Approach:
industry R&D collaborations  Partner agencies with funding and
between a Massachusetts scientific review authority implement the
company and an international collaboration with the MLSC
company with joint funding  Competitive solicitation used to select the
provided by the MLSC and an most promising project(s) proposed by
international partnering agency teams consisting of a Massachusetts-
based and non-U.S. based company
Objectives:  Program focuses on collaborative life
sciences projects in late R&D or
 Promote and motivate collaboration
development
between life sciences companies in
Massachusetts and other countries  Participating companies must each
 Facilitate partnerships between articulate their role in executing the
companies in Massachusetts and proposed project
other countries to execute exciting  Massachusetts companies will receive
new projects funding from the MLSC; international
 Provide joint funding to subsidize the company will be funded by relevant
costs and accelerate the execution of Partner agency
these projects
 Each of the participating companies will
provide matching funds
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33. International Partnership Assistance Portal (IP-ap)
Objective: Make it easier for international companies to identify and
pursue potential partnerships with Massachusetts companies.
 Free, password-protected, cloud-based
portal -- Create your user profile at
https://partnering.masslifesciences.com
 Open to MA-based life sciences
companies and international life sciences
companies
 Companies describe their business and
qualities they are seeking in a partner
 Searchable database - MA companies
can search MA and international
companies, and international companies
can search MA companies
Massachusetts is open for collaboration:
24/7, 365 days a year.
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34. Keeping in Touch
www.masslifesciences.com
• News updates
• Program Information
• Application portal
Life Sciences Center Email List
• 4,200 recipients
• Weekly event listings
• Sign up today!
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