Episode 6 – Investment in the Medical Technology Field, with Post-COVID Considerations

Join host Kris Morrill, the Founder and President of Medevise Consulting with 30 years of experience in the healthcare field, as she speaks to Joe Mandato, a partner at DeNovo Ventures and a recognized leader in the field of life sciences. Joe is active on several boards in the healthcare industry and serves as a lecturer at Stanford University, where he teaches an undergraduate course on Medical Device Innovation at the Byers Center for Biodesign. He lives in Palo Alto, California.

Key takeaways:

•   The medical technology industry has displayed strong resistance to COVID-19 headwinds, leading to unprecedented investments across multiple segments in the healthcare industry (i.e. digital health)
  
  
•   The 2022 landscape is becoming defined by geopolitics. Venture investments have slowed, and the debt market has been affected. However, the financing relationship via VCs and large caps continues to be a healthy one.
  
  
•   Pursuing hot market areas such as AI does not absolve companies of the need to define legitimate business plans detailing the anticipated revenue stream.
  
  
•   The healthcare industry continues to ripple with disruptive new players, but the fundamental questions regarding their viability remain.
  
  
•   Four major questions for disruptors to consider:

• • How to make money?
  • Is the go-to-market strategy successful enough to penetrate?
  • Is the market comprised of more than just early adopters?
  • What is the capacity to adapt to change?

•   A gap exists between curiosity in breakthrough technology and interest in providing financial support for that journey.
  
  
•   Going public as a means of raising capital is a strategy whose success depends on timing – and the boat has largely sailed on this option. Roll-ups, however, remain an attractive option.
  
  
•   Although financing outlooks are challenging, It remains advisable to enter the market sooner rather than later.

 

Find out more about host Kris Morrill and guest Joe Mandato

Connect with Kris Morrill and Joe Mandato on LinkedIn