Category: MedDevNews

MDN Q42024

Q3 2024 saw the organ transplant market thriving, driven by rising demand and advanced preservation technologies, and the IPO market rebounded, reflecting investor enthusiasm for AI-enabled diagnostics. M&A activity is recovering, with OEM transaction volumes increasing year-over-year and CMO transactions gradually improving despite declining investment activity. England also attended the Women’s Health Innovation Summit in September and has launched a new Women’s Health sector breakout for market performance analyses. This edition also offers insights on the upcoming election and its potential impacts on medical device markets.

England also announced the strategic sale of Collagen Solutions,  a leader in medical-grade collagen and tissue-based biomaterials, to RTI Surgical, a leading tissue engineering CDMO.

Read the full report here.

Medtech valuations decreased in Q2 2024, and while investments in the medical device sector have been under pressure since 2021, Q2 U.S. private financing trends indicate a promising path toward sustained growth. U.S. private financing exhibited a notable recovery, seeing a 10.2% increase from the previous quarter. The average amount of capital raised stood at $10.3 million, marking a substantial 70% surge from Q2 2023. Read the full report here.

The first quarter of 2024 showed continued softness across the MedTech M&A and private financing market, with a decline across all categories compared to 2023. However, the industry is gearing up for an increase in activity in late 2024 and 2025, especially with technology-driven, highly differentiated OEMs and PE-backed CMOs that emerged from the post-pandemic slump as stronger organizations. Read the full report here.

For more insights on sector trends or to discuss your strategic priorities, contact one of our healthcare experts.

Ending 2023, economic uncertainty, declining reimbursement rates, cybersecurity, and talent scarcity have been identified as the industry’s biggest risk factors, leaving some parties less optimistic about this year’s financial outlook. However, England has been hearing an increase in discussions related to M&A and capital raises and is optimistic that 2024 will not be as slow as 2023. In addition, budget increases will come for line items such as transformative technologies such as AI, leaving industry leaders more optimistic for 2025.

England & Company Healthcare Investment Banking team closed multiple transactions in Q4 2023 in the orthopedic medical device and extremity markets. Notably, England facilitated the strategic relationship between Extremity Medical and Henry Schein, with Henry Schein being a significant new entrant in the orthopedic extremities market. The England team completed four orthopedic transactions in 2023 and tops the global rankings in investment banking for orthopedic companies.

Read the full report here.

Q3 showed a continued decrease in the number of OEM transactions, while a few larger transactions brought up the overall transaction value. Enovis was particularly active in M&A, making or announcing four other acquisitions so far this year.

This quarter, England closed the sale of SEAL to Enovis, representing our 11th transaction in orthopedics and 18th in Medtech more broadly. Read the full report here.

Q2 showed a decrease in OEM transactions and private financings, but the bright spot was the increase in the number of contract manufacturing transactions compared to Q1. There were some notable transactions, including the spinout of assets from Olympus and BD, and interesting financings in orthopedics, including Onkos Surgical. England completed two transactions this quarter, even given the macroeconomic headwinds.

Read the full report here