Long renowned for its rich history, striking architecture, and thriving technology sector, Prague – and Czechia as a whole – is increasingly gaining recognition for something else: a fast-growing life sciences ecosystem. Prague’s biotech hub currently has a lot going for it, including world-class scientific research, an expanding network of innovative startups and specialized biotechs, the presence of big pharma companies, and growing investor interest. Put all this together, and it means the Czech capital is now emerging as one of Central Europe’s most promising biotech hubs.
As Petra Kinzlova, chief executive officer (CEO) of Prague.bio, told Labiotech: “Today, international investors explicitly view Prague not just as a local hub, but as the primary strategic ‘entry gateway’ into the wider Central and Eastern European biopharma market.”
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Prague: The heart of Czechia’s life sciences scene
For its size, Czechia’s scientific output is impressive, and the biotech industry sits very much at the center of this. According to Kinzlova, the country possesses a highly competitive research infrastructure, top-tier science, and a highly skilled workforce that can compete directly with established European biotech hubs.
The sector comprises nearly 430 entities, including companies and research institutions, which generate annual revenues of CZK 97.5 billion ($4.6 billion). The industry also employs 32,000 highly qualified professionals, and during the 2024/25 academic year alone, 12,000 students were enrolled in biology, biochemistry, and chemistry programs, ensuring a robust talent pipeline for future research and development (R&D) needs.
On top of this, there is growing traction from venture capital and private equity funds. “A clear testament to the ecosystem’s maturity is Prague (and Prague.bio) hosting this year’s BioEquity Europe, Europe’s premier biotech investment conference, marking the first time in its 26-year history that the event has moved east of the German border to the CEE [Central and Eastern Europe] region,” said Kinzlova.
Indeed, Prague itself forms the beating heart of Czechia’s biotech and life sciences scene, with much of the country’s scientific innovation coming out of the capital.
“It is fascinating to see how closely the local ecosystem is tied to global scientific breakthroughs and world-class names. Prague’s research environment has shaped and connected figures like Tomáš Cihlář, senior vice president at Gilead Sciences and co-developer of the global HIV drug lenacapavir, as well as Martina Benešová Schäfer and Miloslav Polášek, who have both made pioneering contributions to the field of radiopharmaceuticals,” said Kinzlova.
Today, there are a number of companies based in Prague hosting local – as well as global – talent, many of whom choose to stay in the city to pursue the increasing number of opportunities arising within the biotech industry.
An eclectic mix: Promising startups, specialized companies, and big pharma
One of Prague’s most prominent companies is SOTIO Biotech, which is the largest Czech biotech company. It is focused on the development of targeted cancer therapies and operates on a global scale, including in North America.
Beyond this, the local ecosystem also features highly promising specialized companies such as DIANA Biotechnologies, which provides PCR solutions for diagnostic and life science labs, Adalid Sciences, which develops next-generation lipid nanoparticles for gene delivery, and SigutLabs, which provides chemical synthesis services and specializes in custom synthesis and contract research.
Kinzlova said that most of these key players are interconnected through the Prague.bio network, an association founded in 2023 that now connects around 50 key members. “This network bridges top academic institutes – universities (such as the University of Chemistry and Technology in Prague or Charles University, the oldest university north of Alps and east of Rhine, founded in 14th century, and others), or the institutes of the Czech Academy of Sciences, such as the Institute of Organic Chemistry and Biochemistry (IOCB Prague, where the famous story of antivirotics research of professor Antonin Holy, that led to the global success of Gilead Sciences, comes from), the Institute of Molecular Genetics, and the Institute of Biotechnology – with major commercial entities like Zentiva, BMS and specialized companies like i&i Prague, the venture builder, and techtransfer company IOCB TECH.”
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Furthermore, the startup environment has undergone significant evolution in recent years and is now far more dynamic, offering an extremely favorable quality-to-cost ratio for biotech research. This makes the region a highly attractive base for young scientists from both Czechia and elsewhere around the globe to launch their projects.
In terms of funding, Kinzlova explained that while venture capital (VC) and private equity funding remain strong – amounting to approximately $140 million – there has been a noticeable shift in investor behavior, as they have become far more selective. “The number of investment rounds has decreased, but capital is being concentrated into fewer, more ambitious projects with larger ticket sizes.”
However, she noted that one of the lingering challenges in Prague and Czechia as a whole is the spin-off rate: although PhD and postdoctoral students are the primary drivers behind new startups, the overall rate of spin-off creation in the country remains relatively low compared to Western Europe.
Meanwhile, Prague is also becoming an attractive place for big pharma. Multinational corporations like Bristol Myers Squibb are actively participating as members of the Prague.bio association. Danish giant Novo Nordisk has also recently invested more than €320 million ($364 million) in a production facility near Prague, where it will manufacture components for diabetes and obesity therapies.
Kinzlova said that, in terms of scale, Czechia’s overall ecosystem of 430 entities and 32,000 employees is rapidly approaching the size of well-established European tech regions. “For comparison, Bavaria in Germany hosts 540 biotech companies with 57,000 employees, while the prominent Medicon Valley spanning Denmark and Sweden includes over 350 companies and employs around 44,000 people in its private life sciences sector.”
Prague’s biotech hub: Sustaining growth is critical
Clearly, Prague is on an upward trajectory when it comes to the expansion of its biotech and life sciences industry. But, according to Kinzlova, while the potential for continued growth for Prague’s biotech hub is “massive”, sustaining it requires focusing on a few critical structural pillars.
She explained: “First, we need to systematically promote the quality of our local ecosystem abroad to increase our international visibility and put Prague firmly on the global map. Second, we must build a more robust and streamlined environment for technology transfer to bridge the gap between academic discoveries and the commercial market. This goes hand in hand with fostering deeper, more practical cooperation between research institutions and commercial enterprises.
“Finally,” continued Kinzlova, “because of its economic and social impact, the state should focus on the biotech sector as a long-term national economic priority, creating policies and frameworks that will systematically attract further venture capital.”
Ultimately, Kinzlova believes that Prague and the Central European region have all the prerequisites to become a major new biotech hub on the continent. “Historically localized, the landscape has matured rapidly, and the sector is now growing much faster than traditional industries. Between 2008 and 2022, the gross value added of the life sciences sector in the CEE region grew by 130%, effectively doubling its economic contribution and proving that it is no longer an overlooked field.”
