There is value out there regardless of where inflation and the broader economy shakes out. Just look at Biotech and the week ending September 9th.
Positive clinical, regulatory and strategic news helped propel the S&P Biotechnology Select Index back up to the 200 day moving average.
Let's check out the IPO market thanks to our friends at LifeSci Partners:
Week ending September 9th, 2022:
Biotech: 1 transaction totaling just over $200M
Med Tech: No current week financings
2022:
96 Biotech transactions totalling just over $11B vs. 2021YTD; 246 Biotech transactions totaling just under $33B
40 Biotech transactions totaling just under $4B in Q2 2022 vs. Q2 2021: 64 Biotech transactions totaling just over $10B
10 Med Tech transactions totaling just over $800M v. 2021 YTD: 62 Med Tech transactions totaling just under $10B
No Med Tech transactions in Q2 2022 v. Q2 2021: 13 Med Tech transactions totaling just over $1B
Private Transactions:
Biotech: 192 US Transactions / 43 European Transactions
Med Tech: 116 US Transactions / 15 European Transactions
There are companies out there expected to make money and return capital to shareholders in this rough environment
Another look at the 2021 IPO market and results through September 9th:
It appears more biotech management teams and investors are betting leading companies will continue to create value regardless of where inflation and the broader economy shake out. But it is no easy task to keep track or keep up.
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