Biochem investors looking to spend, but increase scrutiny.(business & finance news: United States/America)

Raising capital funding, developing a market entry strategy, and the necessary elements for a successful public launch were the principal topics of discussion at Biobased Chemicals Summit held last week in San Diego. Overall sentiment was positive, with a number of companies reporting promising partnerships and a clear path to large-scale production and commercial sales.

Momentum has been building behind biobased chemicals, but it is too early to tell whether biochemical companies that have filed to go public will be successful in 2012, says Sundeep Patel, managing director/investment banking at Barclays Capital (London). Several biochemical companies went public in late 2010/early 2011 at the high end of their offer range, but investor scrutiny increased as 2011 progressed. "Investors are looking for …