IPO for Clinical Trial Software Provider
Phase Forward, a provider of data management software tools for clinical trials, filed for an $86 million initial public offering.Phase Forward, a startup provider of data management software tools for clinical trials, filed for an $86 million initial public offering on March 15. Other than Oracle Corp., Phase Forward is one of the only enterprise software competitors with a solution for the management of clinical trials data. Click here to read more about Oracles clinical trial software. So far, life sciences companies have been slow to adopt any form of electronic data capture (EDC) software. Technology market research firm Forrester Research Inc. estimates that in 2002, 97 percent of clinical trial data was collected on paper. In that year only 8 percent of clinical trials used EDC software. But by 2006, Forrester is expecting that proportion to have grown to one-third.
Even with this reluctance, Phase Forwards products are proving relatively popular. The company has more than 300 customers, including 11 out of the 15 major pharmaceutical companies. In November, Eli Lilly and Co. signed a deal to expand its commitment from Phase Forwards electronic data capture solution, InForm, to include its Clintrial clinical data management system as well. According to the press release put out at the time, Eli Lilly hopes that by managing its data more effectively it will increase the flexibility and scalability of its global clinical trial research efforts.