Sector Snapshot - Key Trends in Dealmaking - Emerging Healthcare & Life Sciences

Sector Snapshot: Key Trends in Dealmaking Emerging Healthcare & Life Sciences | 5 pre-seed/seed stage. That is in large part thanks to strong fundraising prior to 2022, while, given sector-specific expertise and anticipated stronger exit flow in the future, experienced life-sciences-focused firms in particular are willing to invest larger sums. The convergence of AI and select healthtech segments is likely also contributing to healthy valuations. Despite ongoing market caution, financing metrics paint a nuanced picture. Median deal sizes are at either record levels in the pre-seed/seed stage, or close to highs in other stages; post-money valuations are tracking similarly. Such a confluence of trends speaks to elevated levels of capital commitments still available for VC fundmanagers to disburse, which act as a pricing support to some degree, even at the riskier Pre-seed/seed hits an all-time high Global median VC deal size by type ($M) – Emerging Healthcare & Life Sciences *As of 02/23/2024. Note: the 2024* venture growth figures are based on a non-normative population size. Source: PitchBook. 2018 2015 2020 2023 2014 2019 2016 2021 2024* 2017 2022 Pre-seed/Seed Early VC Later VC Venture Growth $16 $14 $12 $10 $8 $6 $4 $2 $0 Valuations set new highs in 2024 to date Global median post-value by type ($M) – Emerging Healthcare & Life Sciences *As of 02/23/2024. Note: the 2024* sample size for venture growth is based on a population of n = 6. Source: PitchBook. Pre-seed/Seed Early VC Later VC Venture Growth 2018 2015 2020 2023 2014 2019 2016 2021 2024* 2017 2022 $400 $350 $300 $250 $200 $150 $100 $50 $0