International equity capital funding for digital health business struck a record high in the very first 3 months of 2020, according to a report from Mercom Capital Group.
Five things to understand:
1. Funding activity was up 43 percent year-over-year for the first 3 quarters of 2020, striking $10.3 billion. During the third quarter alone, there were 195 offers among digital health companies raising $4 billion all together, up from 161 offers raising $2.8 billion in the 2nd quarter.
2. The top funding classifications in 2020 up until now consist of:
– Telemedicine: $3.2 billion – Analytics: $1.3 billion – mHealth apps: $970 million – Wearables: $703 million – Clinical choice support: $660 million – Healthcare service booking: $572 million – Practice management services: $533 million – Wellness: $523 million
3. Early venture capital funding made up $1.2 billion of overall funding and 601 financiers took part in the funding deals during the third quarter. Throughout the 2nd quarter, there were 488 taking part investors.
4. There were 132 digital health mergers and acquisitions in the very first nine months of the year, compared to 125 in the same period last year.
5. In 2020 so far, Teladoc bought Livongo for $18.5 billion, Invitae bought ArcherDX for $1.4 billion and Blackstone got Ancestry for $4.7 billion.
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Early venture capital financing made up $1.2 billion of general financing and 601 financiers participated in the funding deals throughout the 3rd quarter.
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Funding activity was up 43 percent year-over-year for the very first three quarters of 2020, hitting $10.3 billion. Throughout the 3rd quarter alone, there were 195 offers among digital health business raising $4 billion all together, up from 161 offers raising $2.8 billion in the 2nd quarter.