For a succinct analysis of 1H 2024 venture investment and exit activity in life sciences and health care, take a look at HSBC’s Venture Healthcare Report, Shake it off: HSBC Innovation Banking Analysis, 1H 2024. Lead author Jonathan Norris and his team analyze early stage, venture deals, private M&A and IPO activity in Healthtech, Med Device, Biopharma, and Dx/Tools, in both the United States and Europe. The Report also provides a deep dive into growth and investment in computational biology.
Several key findings of the Report are:
- 1H 2024 investments in Healthtech reversed the 2023 decline with deal activity rising each quarter. The sector also experienced a surge in earlier-stage deals.
- Med device investments are reported to remain stable in large part to an increase in first-financing deals and dollars in 2Q 2024. An increase in early-stage investments in deals requiring robust clinical trials, particularly in neurology.
- For Biopharma, the Report highlights exists and a strong M&A market for growth in the sector. Investment in Biopharma reportedly increased by 35%, and there were 51 private deals exceeding $100 million.
- Dx/Tools sector experienced a decline in first-financing deals. A resurgence of growth investors for companies reaching commercialization provided a bright spot for this sector. Early-stage valuations are reported to remain strong but companies with “lofty” valuations from 2020-2021 experienced down or flat rounds.
The Report summarizes that 1H 2024 experienced increased investment across every analyzed sector with numerous investor-led financings. IPO interest increased in Biopharma as well as high deal-value private M&A.
Author(s)
Related Insights
26 August 2024
Innovative Technology Insights
A Look at the Evolving Scope of Transatlantic AI Regulations
There have been significant changes to the regulations surrounding artificial intelligence (AI), including the United States (U.S.) government's executive order on AI, California's upcoming regulations, the European Union's AI Act, and emerging developments in the United Kingdom.
23 August 2024
Innovative Technology Insights
National Public Data Hack Exposes Millions: Essential Steps to Safeguard Your Identity and Combat Fraud
The recent massive data breach at National Public Data, a background check company, has potentially compromised the personal information of millions, if not billions, of individuals, including their Social Security numbers, dates of birth, phone numbers, current and past addresses, the names of siblings and parents, and other information.
22 August 2024
Innovative Technology Insights
Quantum Computing’s Transcendence: Impacts on Foundational Technology
Quantum computing stands to revolutionize fundamental aspects of computing such as hardware, artificial intelligence, and cybersecurity.