- Healthcare IPOs tripled in 2013, leading to a record potential IPO/big exit return of $12.5 billion — a nine-year high
- Healthcare venture fundraising exceeded $3.5 billion in each of the past three years, a healthy level for innovation
- Large biopharma companies are essentially outsourcing early-stage R&D by investing heavily in young venture-backed companies and as significant investors into Healthcare Venture Funds
- Among big exit M&A (defined as private, venture-backed M&A with upfront payments of $75 million or higher for biopharma deals and $50 million or higher for device deals):
- The average total deal value for biopharma big exit M&A was $549 million in 2013, the highest level since SVB started tracking the data in 2005, and it represents a 10 percent increase over 2012.
- Device big exit M&A activity declined, but the average total deal value was $231 million in 2013, a three-year high, which represents a 42 percent increase over 2012.
- Bucking convention in the device sector, FDA approval was not necessary for big exits
- Healthcare venture will continue to see strong returns
Report: Biopharma And Medical Device Companies Beat Historic Investment Returns
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts