Alexandria Equities Maintains Strong Balance Sheet and Liquidity

Los Angeles

Alexandria Equities maintains a strong balance sheet and liquidity, according to executives on the first-quarter call. The firm has $4 billion in liquidity and no debt maturities until 2023. Plus, the REIT has a high concentration of life science tenants working to develop vaccines and treatments for the novel coronavirus, which will contribute to a strong performance moving forward.

Alexandria closed the first quarter with $8.1 billion invested in venture-backed life science companies. It was a record for the company. Biopharma has performed well against the broad market, according to Joel Marcus, founder and chairman, during the pandemic. “While most industries are adversely affected by acute changes in consumer demand, this is not the case for biopharma,” Marcus said on the earnings call. “As the need for new medicines is fundamental to our human condition. This discrepancy is one of the reasons why biopharma outperformed other sectors during the great financial crisis and the tech bubble crash of 2001.”