International overview: Public and private equity financing

Globalization of the financial markets has created momentum by enabling biotechnology companies to obtain public and private capital. The vigorous expansion of international markets and the pace at which transactions are occurring across borders is a testament to the success of important changes in worldwide financial structures. As a result of these changes, new alliances are emerging and burgeoning sectors such as information technology and biotechnology are increasingly undergoing globalization. The international business and regulatory environment does, however, pose challenges for companies of all sizes. Factors ranging from enactment of the North American Free Trade Agreement (NAFTA), to evolution of the European Economic Community and the opening of Eastern European markets have contributed to market complexities. Whether a company is creating foreign subsidiaries; establishing joint ventures with foreign partners; dealing with licensing, manufacturing, marketing, and distribution rights; or working with international agencies, a range of systems knowledge and legal expertise is required. In this article, lawyers from nine countries summarize the main features of public and private financing laws of their respective jurisdictions.