Divide Growing Between Strong, Weak Medical Device IPO Companies
This article was originally published in Start Up
Executive Summary
A growing number of medical device companies that managed to go public over the past few years are finding their market capitalizations slipping away.
You may also be interested in...
Device Exits Can Rival Biotech, But Watch Out for the Risks
A look at recent exits challenges the widely held view that device investments have lower return potential than biotech investments. However, a close inspection of the risk/return profile reveals that device investors are taking on more risk than ever.
Medical Device and In Vitro Diagnostics/Research Deal Statistics Quarterly, Q2 2008
Highlights from the Q2 2008 review of device and diagnostics dealmaking: financing for medical device firms was down 9% from the first quarter to $838mm, which consisted mainly of late-stage venture rounds at 43% of the total. Big Pharma was surprisingly active in device acquisitions, with Novartis buying 25% of surgical instruments maker Alcon, and BMS selling off ConvaTec to private equity as part of its "string of pearls" strategy to focus on biotech. Two FOPOs dominated the $300mm financing the IVD/Research industry, while Invitrogen's $6.4bn stock swap for Applera's Applied Biosystems represented 90% of the M&A dollar volume.
Medical Device and In Vitro Diagnostics/Research Deal Statistics Quarterly, Q2 2008
Highlights from the Q2 2008 review of device and diagnostics dealmaking: financing for medical device firms was down 9% from the first quarter to $838mm, which consisted mainly of late-stage venture rounds at 43% of the total. Big Pharma was surprisingly active in device acquisitions, with Novartis buying 25% of surgical instruments maker Alcon, and BMS selling off ConvaTec to private equity as part of its "string of pearls" strategy to focus on biotech. Two FOPOs dominated the $300mm financing the IVD/Research industry, while Invitrogen's $6.4bn stock swap for Applera's Applied Biosystems represented 90% of the M&A dollar volume.