Denmark, particularly Copenhagen, is emerging as a leading force in European biotechnology, drawing startups and talent from neighboring Nordic countries. The trend is reshaping the region's biotech landscape, with Sweden seeing its startups move to Denmark in search of higher salaries and stronger private capital support, according to a July 27 report.
João Ribas, partner at Novo Holdings Seed Investments in Copenhagen, said three factors are driving Denmark’s biotech success: talent, novel science, and strong capital allocation. Ribas attributed this growth to systemic investment from organizations such as the Novo Nordisk Foundation. “From a government perspective, and from a foundation perspective, there’s been continued investment in novel academic science,” Ribas said. He highlighted initiatives like Innovation District Copenhagen that foster collaboration between research institutions and industry.
The Novo Nordisk Foundation funds scientific research while the BioInnovation Institute (BII), established by the foundation in 2018, helps translate research into companies. Novo Holdings then supports these ventures financially. Ribas described this vertically integrated system as uncommon elsewhere in Europe.
Ester Sklarsky, principal at Sound Bioventures based in Stockholm, called BII a “massive machine… for creating investable companies.” She noted that BII has supported more than 130 early-stage life science and deep tech startups. Earlier this year, BII announced that the Novo Nordisk Foundation had granted DKK 5.5 billion (about $858 million) to boost innovation in Denmark and Europe.
Sklarsky also discussed challenges facing Sweden’s biotech sector despite its legacy pharmaceutical companies such as AstraZeneca and Pharmacia. She cited limited financial resources and specialist investors as key constraints: “We have a lot of early stage governmental funding... but there’s not that much private capital willing to invest in biotech.” Geographical fragmentation within Sweden further complicates integration with other regional hubs like Medicon Valley.
Other Nordic countries face their own hurdles; Norway specializes more narrowly in radiopharma but lacks institutional funding due to structural barriers such as domestic investment restrictions on its sovereign wealth fund. Finland is stronger in medtech than biotech but similarly lacks large pharmaceutical anchors or robust private funding sources.
Both Ribas and Sklarsky agreed greater cooperation among Nordic countries could serve as an effective model for regional coordination across Europe going forward. “I think we have an opportunity in the Nordics to lead the way... show what an effective model for cooperation within the region could look like,” Ribas said.
