U.S.-based high-tech commercial bank Silicon Valley Bank (NASDAQ: SIVB) released its annual Trends in Healthcare Investments and Exits report.
Authored by Jon Norris, the document analyzes the fundraising, investment, M&A and IPO activity of private, venture-backed biopharma, medical device and diagnostic/tools companies and also provides a view of what’s on the horizon in 2016.
In 2015, for the third consecutive year, investor confidence and innovation grew and the healthcare venture industry produced hight returns to them. While IPOs dipped versus 2014, the public markets continued to be receptive to healthcare companies. Also, many companies going public in the past two years had public follow-on fundings. In addition, biopharma M&A activity increased.
According to SVB estimates, the healthcare venture industry has generated $55 billion in potential value back to investors in the past three years.
Anyways, as the report also shows, the healthcare venture investment activity in the fourth quarter of 2015 slowed, leading to a forecast for a strong but less vigorous 2016 for the industry, which likely will not match 2015.
In 2014, the biopharma IPO opportunity will remain open, with fewer IPOs, while M&A will continue on pace. Device and Dx/tools IPO activity will decline.
Have a look at the report below
FinSMEs
18/01/2016