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Sustainability of Advanced Therapy Medicinal Products (ATMPs): overcoming the valleys of death in the translational research and post marketing-authorization

Project
The literature highlights the distance between basic and clinical research (translational valley of death) in Advanced Therapy Medicinal Products (ATMPs), the underfunding of clinical research and the risk of economical unsustainability of authorized ATMPs with a consequent withdrawal and patients’ use (market valley of death). Starting from our preliminary data and from a direct experience in ATMPs failure, a multidisciplinary team (with biomedical, industrial, quantitative, financial and legal skills) aims to: -specify and measure the clinical, operational and financial needs of the clinical research in ATMPs; -identify new industrial and research models able to improve the economic sustainability of developing and approved ATMPs; -identify new financial schemes able to improve the financial system’s allocative efficiency and to enlarge its funding capacity; -identify areas of (non-economic) intervention where authorities could focus their attention to improve ATMPs’ sustainability. The research path follows the Capital budgeting method, that is separately determining the project’s financial flows, its risks and the sustainable financing methods, in order to assess the financial sustainability (NPV) and social sustainability (NPSV) of different clusters of ATMPs. This approach also enables identification of the clinical, operational, regulatory factors where action can be suggested and taken to achieve more sustainability and make research of therapies feasible. We use a sample of 1.042 European ATMPs clinical trials (344 of which involving Italian researchers) identified through the ClinicalTrials.gov database (integrated by PubMed). Preliminary analyses have outlined that currently the financial system is only indirectly funding ATMPs clinical research through investments in 65 ATMP-engaged SMEs. These companies will be examined in depth through financial annual reports public information and a licenced database (Crunchbase). The same analysis will also be done on all the companies involved in management and administration of authorized ATMPs (or in their withdrawal). Once the operational strengths and weaknesses are identified together with financial system's failures, the study of new operating models and financial schemes continues along two strands: 1.the management and optimisation (i.e. reduction) of operational and financial needs through the valorisation of intermediate outputs (organoids, data, intermediate platforms, technological knowhow, etc.), new operating models and the use of consortium structures both in clinical research and ATMPs’ production and administration; 2.financial innovation and creation of new combinations of contracts both able to effectively catalyse resources already present on the market towards investments in ATMP research and capable to involve the more retail component of the market and ESG institutional funds (by managing the minimum viability and sustainability thresholds of investments, exploring criteria for portfolio selection and methods of risk sharing and by improving the risk/return trade-off).
  • Overview
  • Skills
  • Research Outputs

Overview

Contributor (4)

COSMA Stefano   Scientific Manager  
BALBONI Bernardo   Participant  
COTTERLI Simonetta   Participant  
PENNETTA DANIELA   Participant  

Representatives

DOCCHIO BRUGIONI Cecilia   Administrative  

Leading department

Marco Biagi Department of Economics   Principale  

Term type

FAR 2023 Progetti interdisciplinari - Linea FOMO

Financier

FONDAZIONE DI MODENA
Funding Organization

Partner

Università degli Studi di MODENA e REGGIO EMILIA

Total Contribution (assigned) University (EUR)

48,821€

Date/time interval

November 2, 2023 - May 1, 2025

Project duration

18 months

Skills

Concepts (7)


LS7_5 - Applied gene, cell and immune therapies - (2022)

SH1_4 - Finance; asset pricing; international finance; market microstructure - (2022)

SH1_9 - Industrial organisation; entrepreneurship; R&D and innovation - (2022)

Settore BIO/13 - Biologia Applicata

Settore IUS/04 - Diritto Commerciale

Settore SECS-P/08 - Economia e Gestione delle Imprese

Settore SECS-P/11 - Economia degli Intermediari Finanziari

Research Outputs

Research outputs (2)

Overcoming the “valleys of death” in Advanced Therapies: the role of Finance 
SOCIAL SCIENCE & MEDICINE
2025
Academic Article
Open Access
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Finanza sociale e BioTech: quale ruolo nel sostegno dello sviluppo delle terapie innovative 
BANCARIA
2024
Academic Article
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