Medtech fundings for October 2012 exceed $600 million, push up 2012 trend

Medical technology fundings for October 2012 totaled just over $600 million, comprised of many fundings, but with the biggest ones being:

  • $76.2 million for LifeTech Scientific Corp. (minimally invasive interventional devices for cardiovascular and peripheral vascular applications)
  • $60.2 million for Vital Therapies, Inc. (bioartificial liver device)
  • $45 million for EnteroMedics, Inc. (devices to treat obesity, metabolic disease and other GI disorders)
  • $45 million for Fibrocell Sciences, Inc. (autologous cell therapies for use in aesthetic dermatology)
  • $40 million for Alimera Sciences, Inc. (intravitreal implant for the treatment of chronic diabetic macular edema)
  • $35 million for Tornier NV (joint replacement and related orthopedic implants)
  • $31 million for InSightec Immage Guided Treatment Ltd (non-invasive MRI-guided ultrasound surgical devices)

The overall trend in medtech fundings has been a slow recovery from 2008. Indeed, recent press from venture capital associations and others have argued that fundings are at upwards of an eight year low.  The problem, however, with these reports is that they often look at medtech too narrowly (e.g., medical devices as opposed to medical devices, biomaterials and other products that are either complementary to or directly competitive with medical devices) or fail to account for fundings that come from both public and private investment, fundings from startup competitions, fundings from outside the U.S. Below is the actual trend, from 2009 though October 2012, based on individual financing we have tracked, month by month, since 2009 (you can see the individual fundings listed through June 2012 and the fundings separately for July, August, September and now October 2012).

Source: Compiled by MedMarket Diligence, LLC

Another way we have presented this data is to simply show the month-by-month financings with the seasonality (above) removed and a calculated trendline added. See below.

Source: Compiled by MedMarket Diligence, LLC 

 The data is hard and documented on these fundings, so the trendline above is not only reliable, but encouraging.

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