Minnesota’s Medical Alley reports strong and consistent growth in 2018, according to a recent investment report from Medical Alley Association.
In 2018, healthtech companies in Medical Alley raised $731M, a slight decrease from the $759M raised in 2017. This represents the second consecutive year Medical Alley companies have raised over $700M of funding. This included large investments in digital health, with nineteen companies raising $320M. This was followed by $260M raised by forty-eight companies in the medical device space. $144M was also raised by eighteen biotech companies in Medical Alley.
In total, nineteen healthtech companies raised over $10M. Top raises included $200M from health insurance company Bright Health, $70M from Bind, also a health insurance company, and $58M by Relievant Medsystems, a company developing solutions for chronic back pain.
Medical Alley additionally experienced significant exits with a declared total value of $2B. This included the acquisition of ABILITY Network, a company providing solutions to reduce costs for healthcare providers and payers, by cloud company Inovalon. Inspire Medical, a company developing sleep apnea treatments, had an IPO on the New York Stock Exchange, raising $108M. Biomedical company NxThera was sold to Boston Scientific for $400M. And microbiome company Rebiotix was acquired by the Swiss based Ferring Pharmaceuticals.
Despite these acquisitions, many of these companies have remained in Medical Alley. ABILITY Network has expanded within Minnesota through the hiring of new employees. Francis Medical, a spinout of NxThera after its acquisition, was also kept in Minnesota.
For more detailed investment reports on healthtech in Minnesota, head to the Medical Alley Association website.
About Medical Alley Association
Founded in 1984, the Medical Alley Association supports and advances the global leadership of Medical Alley’s healthcare industry, and its connectivity around the world. MAA delivers the collective influence, intelligence and interactions that support Medical Alley.