Financing for Medtech 3384

Originally Published MX March/April 2003

FINANCE

Even in today's tough funding environment, companies with the right blend of focus and execution can still attract significant investment dollars.

Moderated by Steve Halasey

Medtech executives don't have to look far beyond their own doors to discover that today's economy is suffering on a global scale. Although private investment in medical technology companies has managed to hold its own—and perhaps even to gain a bit—relative to investment in other industries, some indicators tell a less encouraging story.

In the world of private medtech investments, overall funding and company valuations have declined considerably since 2000. And in the public markets, the opportunities for successful initial public offerings (IPOs) have been virtually nonexistent since 2001.

It's no surprise, then, that the leaders of many start-up medtech companies are finding themselves wondering what happens to a good idea that goes unfunded, or to a growing company that, in the parlance of market analysts, can't get traction in today's economy.