US market and Biotech dominating 2022 activity. Investors backing firms focused on wellness and mental health with landmark deals for a number of players.
The healthcare market has seen 66 ‘megarounds’ (+$100M) so far this year, attracting $11.7B of investment capital. Biotech companies account for more than 45% of megarounds with private funding proving more accessible than bearish public markets.The US market is dominating geographically with 77% of all deals over $100M.
Outside of biotech, a focus on automation and cost reduction has seen investment flow into businesses that are utilizing the rapid improvement in machine learning and AI to help take cost out of healthcare systems. Data analytics organizations that can improve efficiency or better triage patients have attracted funding. Platform and software businesses that have proven they can remove administrative layers and improve functionality are also thriving. As we emerge from the pandemic investors are backing firms focused on wellness and mental health, with landmark deals for a number of players.
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