Thu, Oct 16, 2025
A A A
Welcome Guest
Free Trial RSS pod
Get FREE trial access to our award winning publications
Industry Updates

Venture capital-backed deals in healthtech companies hit $8.2bn in Q1 2020

Friday, May 29, 2020
Opalesque Industry Update - Prior to the outbreak of COVID-19, healthtech was already a sector of increasing interest among investors, said Preqin. But as a result of COVID-19, more alternative assets professionals are looking for opportunities in the healthtech sector, and there has been an uptick in venture capital dealmaking in the space.

Between January and March 2020, the total value of global venture-backed healthtech deals jumped by 76% from Q1 2019 reaching $8.2bn, the highest quarterly total on record. Activity has been dominated by North America, comprising 56% of the total number of deals, followed by Europe with 21% and Asia with 17%.

The largest venture-backed healthtech deal completed in Q1 2020 was the $285mn Series E financing held by ClassPass Inc. This momentum has continued into Q2, with a further $3.2bn in healthtech deals made since the start of April - at this pace, 2020 will be a record year for the sector by some distance.

Christopher Beales, Private Equity Spokesperson: "Healthtech was already an area of some interest to venture capital investors, as Preqin discussed at the start of the year. But the COVID-19 pandemic has thrown the potential of the sector into sharp relief. Remote consultations, prescription delivery, digital therapeutic and wellness classes - demand for next-generation healthcare solutions has boomed. As such, startups and investors are jumping to try and meet that need, and a sector that was already expanding has been given a real shot of adrenaline."

Key Healthtech Deals Facts:

• In our April 2020 survey of over 100 investors active in alternative assets, 36% said that they are targeting healthcare-focused investments in 2020 because of COVID-19's impact.

• Global venture-backed healthcare deal value increased from $4.7bn in Q1 2019, to $8.2 in Q1 2020.

• Regionally, in Q1 2020, 239 deals were completed in North America, 87 in Europe and 73 in Asia.

• The largest venture-backed healthtech deal completed in Q1 2020 was the $285mn Series E financing held by ClassPass Inc.

• In Q2 2020, as at 18th May 2020, 158 healthtech deals have been completed with a value of $3.2bn.

Article source - Opalesque is not responsible for the content of external internet sites

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Previous Opalesque Exclusives                                  
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Global fintech investment slumps to seven-year low of $95.6bn[more]

    Laxman Pai, Opalesque Asia: Global fintech investment plummeted to $95.6 billion across 4,639 deals in 2024, marking its lowest level since 2017, as investors grappled with persistent macroeconomic challenges and geopolitical tensions, revealed a study. According to the Pulse of Fintech H2'

  2. Opalesque Exclusive: Private capital deal value climbed 19% in 2024[more]

    Bailey McCann, Opalesque New York: Private capital deal value climbed 19% in 2024, according to the latest data from the Global Private Capital Association. Growth was driven by big-ticket investments across Southeast Asia, Latin America and Central & Eastern Europe (CEE). Investor confidence

  3. Opalesque Roundup: Citco: 77% of hedge funds achieved positive returns in January 2025: hedge fund news[more]

    In the week ending February 21st, 2025, a report revealed that hedge funds enjoyed one of their best opening months this decade in January, as Equity and Multi-Strategy funds posted strong returns. Funds administered by the Citco group of companies (Citco) delivered a weighted average return of 4%,

  4. Opalesque exclusive: Permuto's new equity unbundling product to change investment model[more]

    Opalesque Geneva for New Managers: Here is a different way of owning stocks coming to you soon: the option of holding just the dividend portion of a stock, independent of its price movements. Or capturing the stock&

  5. Opalesque Exclusive: Hedge funds outperform mutual funds in managing extreme risk contagion - key insights for investors[more]

    Matthias Knab, Opalesque for New Managers: Hedge funds and mutual funds are among the most prominent vehicles for investors seeking growth and diversification. However, a critical question persists: which fund ty