Originally Published MX November/December
Originally Published MX November/December 2001
The tragic events of September 11 have left their mark throughout the world. Market watchers have looked on with dismay as already-weak sectors have dwindled, while analysts have begun the search for an industry with enough strength to lead the world's economies back from the depths.
In such a climate one might expect that the medtech industry, with its heavy dependence on venture-backed entrepreneurial companies, would be suffering. While no one is making a bundle in today's market, some medtech companies are succeeding despite the challenges.
According to VentureOne (San Francisco), market support for initial public offerings (IPOs) has continued to decline throughout 2001. In the second quarter of the year there were only four IPOs, raising a total of $271 million; in the third quarter, the same number of IPOs raised only $245 million. What is more remarkable, however, is that three of the third-quarter IPOs involved companies in the healthcare sector, including bio-orthopedic manufacturer Wright Medical Group Inc. (Arlington,