Biotech venture funding hits $9.1 billion in H1 2026, but small startups lag behind

Venture capital funding for biotech startups surged in the first half of 2026, with nearly 70 companies securing more than $9.1 billion, according to BioPharma Dive data.

The bulk of the money came from large “megaround” investments of $100 million or more, which accounted for about 76% of the total capital raised.

Analysts note that strong public‑market performance and heightened deal activity helped drive the funding, even as the sector faces a U.S. government crackdown on Chinese drug asset investments and ongoing FDA turbulence.

Despite the overall influx, most of the funded companies already had drug candidates in clinical testing, leaving smaller early‑stage startups struggling to attract capital.