The Venture Capital Review’s Post

𝐖𝐡𝐲 𝐀𝐜𝐜𝐞𝐥𝐞𝐫𝐚𝐭𝐨𝐫𝐬 𝐀𝐫𝐞 𝐂𝐫𝐢𝐭𝐢𝐜𝐚𝐥 𝐭𝐨 𝐒𝐭𝐚𝐫𝐭𝐮𝐩 𝐒𝐮𝐜𝐜𝐞𝐬𝐬? Startups, especially in HealthTech and BioTech, can greatly benefit from accelerators. These programs guide founders through a long yet crucial process, teaching them how to organize their financials, create projections for the next 5 years, and avoid excessive dilution. Additionally, accelerators help startups master capital raising and investor engagement. Three recent examples of success stories from #HealthTech/#BioTech accelerators include: - XYZ Home Health Agency, Inc. – Raised $10M for wearable health devices. - BioCure – Secured $8M in seed funding for a biotech innovation. - Meditech Solutions – Expanded globally after a $15M investment round. These companies exemplify how accelerators transform ideas into scalable ventures, providing the necessary tools and connections for long-term success. 𝑨𝒓𝒆 𝒚𝒐𝒖 𝒂 𝒔𝒄𝒊𝒆𝒏𝒕𝒊𝒔𝒕, 𝒓𝒆𝒔𝒆𝒂𝒓𝒄𝒉𝒆𝒓, 𝒐𝒓 𝒔𝒕𝒂𝒓𝒕𝒖𝒑 𝒐𝒘𝒏𝒆𝒓 𝒊𝒏 𝑯𝒆𝒂𝒍𝒕𝒉𝑻𝒆𝒄𝒉 𝒐𝒓 𝑩𝒊𝒐𝑻𝒆𝒄𝒉?  We're here to help you #shine! Whether you're at the idea stage or looking to scale, we can provide the resources and mentorship you need to succeed. DM me to learn how we can support your growth and take your innovations to the next level! #HealthTech #BioTech #Startups #Innovation #Growth

📢 Issue one of Engineering Better Health, the LIHE newsletter, is out now! Find out about our unique opportunities for MedTech startups and discover our one simple metric for measuring success. #medtech #newsletter #startups

I respectfully disagree with the conclusions in this author’s post. Depending on when they exited in full, SILK’s private investors achieved a tremendous liquidity event following the Company’s successful & upsized 2019 IPO. The company traded above its IPO price for the majority of the two year period that followed. SILK had just $34M in revenue the year prior to their IPO. At the time of its IPO, SILK had raised just $105M in equity financing and $25M of debt financing. The IPO created significant value for prominent venture and growth equity groups and their LPs, including Norwest Venture, the Vertical Group, CRG, Warburg Pincus, Janus Capital, and likely others that I’ve missed. Some of these groups Partners have gone on to join or raise new funds that enable even further venture investment into med tech. Regarding this specific acquisition - BSX paid what most acquired company Boards would determine to be “fair” for the business - a market (38%) premium to the Company’s VWAP. Further, 6x TTM revenue for a business whose top line growth has slowed significantly (with TTM revenue just 5% above FY2023 revenue and now guiding to FY2024 at 10% above prior year) and is unprofitable despite strong gross margins is not a bad deal or bad for med tech M&A values. BSX surely would have worked to find viable synergies for this deal. No company growing at less than 30% - 50% top line year over year should expect an outsized (8x - 12x) revenue multiple unless they are a truly scarce asset or have significant measurable value catalysts on the horizon. Experienced growth equity groups understand that 10x+ revenue multiples are not the norm, and will always underwrite their deals assuming more modestly priced exits, while still only selecting those investment targets that they believe may have the ingredients to enable such an outsized exit. Additionally, there are still med tech market segments where targets do trade early (whether at successful first in man study or FDA clearance) based on technology value (for example, structural heart). Both Silk Road’s IPO & this acquisition were positive for med tech when they occurred - one opened an IPO window while the other drives continued M&A opportunity at what are objectively strong revenue multiples relative to the target’s attributes. There should be no bias imputed to have been attributed to the age or total capital invested in the company, simply the time at which the acquirer could make the acquisition math work. This outcome does not drive funding fatigue in med tech, it unlocks capital flows. Nor does this acquisition drive innovation stagnation (and the IPO would have conversely fostered innovation). Notably, 80% of the capital raising noted in this post occurred while SILK was a public company. I contend that the majority of life science venture investors view this acquisition as positive for the industry. The only losers here are institutional & retail investors who invested in SILK at its peak.

🚨 ❤️🔥 𝐇𝐞𝐚𝐫𝐭 𝐁𝐫𝐞𝐚𝐤𝐢𝐧𝐠 𝐍𝐞𝐰𝐬: Silk Road Medical Acquired by Boston Scientific for $1.26B. 𝑩𝒖𝒕 𝒕𝒉𝒊𝒔 𝒊𝒔𝒏'𝒕 𝒈𝒐𝒐𝒅 𝒏𝒆𝒘𝒔 𝒇𝒐𝒓 𝒎𝒆𝒅𝒕𝒆𝒄𝒉 𝒔𝒕𝒂𝒓𝒕𝒖𝒑𝒔. Here's why 👇️ 𝐓𝐡𝐞 𝐁𝐚𝐜𝐤𝐬𝐭𝐨𝐫𝐲: Silk Road Medical raised a hefty $500M+ over its lifetime. That's a lot of investor money, time, and faith. Now, after years of blood, sweat, and tears, Boston Scientific swoops in and buys them out for $1.26B. Happy ending right? Billion dollar exit so whats the problem? Simple math shows a modest return, but this deal hints at a darker trend for the medtech world. 𝐖𝐡𝐲 𝐓𝐡𝐢𝐬 𝐖𝐚𝐬𝐧'𝐭 𝐚 𝐆𝐫𝐞𝐚𝐭 𝐃𝐞𝐚𝐥 Silk Road Medical's highest valuation occurred around 2021 when their market cap peaked at approximately $2B. This peak valuation contrasts sharply with their recent acquisition by Boston Scientific for $1.26B, which shows a significant decline in their market value. So why is this bad news for medtech startups? It is part of a trend that shows that larger strategics can wait until startups face financial difficulties before acquiring them at a reduced valuation. 𝐒𝐭𝐫𝐚𝐭𝐞𝐠𝐢𝐜𝐬 𝐏𝐥𝐚𝐲𝐢𝐧𝐠 𝐭𝐡𝐞 𝐖𝐚𝐢𝐭𝐢𝐧𝐠 𝐆𝐚𝐦𝐞: Large companies like Boston Scientific are more than happy to sit on the sidelines, waiting for startups to mature and struggle. Why buy a promising but risky early-stage company when you can wait, let them iron out the kinks, and then pick them up for a relatively lower price when they’re desperate? 𝐁𝐥𝐞𝐞𝐝𝐢𝐧𝐠 𝐎𝐮𝐭: My good friend and mentor Bruce Cleveland wrote a book about what early-stage startups often face called the Traction Gap™ (worth buying). If they can't prove their product-market fit or generate significant revenue quickly, they become ripe for the picking by bigger fish, often at a fraction of their potential value. 𝐅𝐮𝐧𝐝𝐢𝐧𝐠 𝐅𝐚𝐭𝐢𝐠𝐮𝐞: This trend can deter VCs & angel investors from backing early-stage medtech because they might not get a 10x return. And trust me we're already seeing this in the markets as its been hard to raise money these days for everyone. 𝐈𝐧𝐧𝐨𝐯𝐚𝐭𝐢𝐨𝐧 𝐒𝐭𝐚𝐠𝐧𝐚𝐭𝐢𝐨𝐧: If startups know they’ll be undervalued later, where’s the incentive to push boundaries and innovate? As my surrogate grandfather Charlie Munger might say, “𝑰𝒇 𝒚𝒐𝒖 𝒅𝒐𝒏’𝒕 𝒌𝒏𝒐𝒘 𝒘𝒉𝒐 𝒕𝒉𝒆 𝒑𝒂𝒕𝒔𝒚 𝒊𝒔 𝒂𝒕 𝒕𝒉𝒆 𝒕𝒂𝒃𝒍𝒆, 𝒚𝒐𝒖’𝒓𝒆 𝒕𝒉𝒆 𝒑𝒂𝒕𝒔𝒚.” In this case, it’s the early-stage startups, playing a game where the house (strategics) always wins. While the headlines scream success, the underlying narrative is one of caution. If we want to foster true innovation, we need to rethink our approach to funding and acquisitions. 𝐈𝐟 𝐭𝐡𝐢𝐬 𝐫𝐞𝐬𝐨𝐧𝐚𝐭𝐞𝐬, 𝐫𝐞𝐩𝐨𝐬𝐭 𝐭𝐨 𝐬𝐡𝐚𝐫𝐞 𝐰𝐢𝐭𝐡 𝐨𝐭𝐡𝐞𝐫𝐬 ♻️ 𝐚𝐧𝐝 𝐟𝐨𝐥𝐥𝐨𝐰 𝐦𝐞 @[𝐎𝐦𝐚𝐫 𝐌. 𝐊𝐡𝐚𝐭𝐞𝐞𝐛] 𝐟𝐨𝐫 𝐦𝐨𝐫𝐞 𝐢𝐧 𝐟𝐮𝐭𝐮𝐫𝐞. #medtech #medicaldevices #medicaldevice #businessmergersacquisitions

The first issue of the London Institute for Healthcare Engineering newsletter is out now! #newsletter #medtech #engineeringbetterhealth

Meet the startups from cohort#7 at the DigitalWell Ventures DEMO Day the 26th of November in Oslo Business Village Aker Brygge - register to join us live or watch online! Ten ambitious startups are this day stepping into the spotlight to show their new solutions for healthcare, wellness and cybersecurity - all dedicated to addressing key societal challenges through innovation and tech. The pitching startups include: Cognes - Pioneering early dementia detection. NapLab - Redefining sleep science through AI. GlobePerson / GlobePatient - Connecting care for a healthier future Norgald- Enhancing cybersecurity for critical infrastructure Traino - Revolutionizing the way you connect physical training experiences WellMate - Health support assistant for the modern age. Phystec - Enabling patient ownership of post-operative recovery  Friendbase / Palderio Creative Labs - Serious gaming for better health for kids Hemstöd Förmedling AB - Enhanced quality of life for elderly and active seniors through technology AddSafety - Making small business workplace safe Each of these startups has spent months refining their solutions as part of the DigitalWell Ventures accelerator cohort #7. Now, they are ready to present their innovations to investors and our ecosystem community. Whether you’re an investor or business angel scouting your next opportunity - or simply interested in startups that will create value great for society moving on, these are startups to keep on your radar. The DEMO Day will start a introduction from our investor panel - discussing the challanges and opportunities for startups and investors in the current investment landscape. Wanna join? Registration link in the comments and more info in the LinkedIn event here: https://lnkd.in/eT58sdeW #HealthTech #Startups #Innovation #DemoDay #DigitalWellVentures #DigitalWellArena

We are delighted to announce that Whale Tank 2.0 is collaborating with Speciale Invest, an early-stage venture capital firm renowned for investing in disruptive technologies at the pre-seed and seed stages. Speciale Invest enable’s visionary founders to build deep science technologies of tomorrow! Their portfolio encompasses the most cutting-edge of technologies across sectors like Health & Bio Sciences, Clean Energy & Climate Tech, Beyond Earth & Space Tech, Industry & Manufacturing Tech, and AI led SaaS. We are thankful to Vishesh Rajaram, Managing Partner of Speciale Invest, for his invaluable support and commitment, as well as for connecting with us and confirming Speciale Invest’s participation in FABA’s Whale Tank 2.0. Whale Tank 2.0, to be held on August 17th, 2024, at the University of Hyderabad, will bring together the most innovative life sciences startups to pitch their ideas to top-tier venture capitalists, industry leaders, and fellow entrepreneurs. This event is a unique opportunity to showcase cutting-edge solutions in biotechnology, medical devices, pharmaceuticals, diagnostics, digital health, AI in drug discovery & development, and agritech. Life Sciences Startups, VCs, and Incubators, this is your chance to be a part of a transformative event! Startups: Pitch your innovations and gain visibility with leading investors. VCs: Discover pioneering startups and explore potential investment opportunities. Incubators: Nominate your top startups and help them connect with global investors. Register now to be a part of Whale Tank 2.0: biofaba.org.in/whale-tank. If you have any query, please feel free to contact us at coo@biofaba.org.in. Let's come together to drive innovation and foster growth in the life sciences sector. We look forward to seeing you there! #WhaleTank2024 #LifeSciences #LifesSciencesInnovation #VentureCapital #Startups #FABA #SpecialeInvest #Entrepreneurship #Innovation #InvestmentOpportunity

"Technology does not equate to business. A professional system for commercialization is essential." “Although the venture studio model in the bio-healthcare field is not yet active in Korea, it is an essential model for the proper development of the industry ecosystem in the future. MINT Venture Partners will lead the startup, investment, and acceleration business in Korea.” During a panel discussion on the theme of ‘New Models for Successful Bio-healthcare Startups’ held during the ‘Bioplux-Interphex 2024’ in July, our Chairman & CEO Dr. Jae-Hoon Song (송재훈) emphasized the role of venture studios in the bio-healthcare startup ecosystem. The discussion gave us insights into the importance of creating synergy through collaboration with various experts such as medical professionals, business development experts, and investment experts, rather than sole dependence on the technology developers for the founding of startups. This collaborative ecosystem for bio-healthcare startups is currently lacking in Korea. Venture studio models, which are active in the US and in Europe, address the needs of startups by providing the expertise and the requisite network throughout a startup’s lifecycle. The involvement of clinical doctors is essential at every stage of the process, from technology development to commercialization, particularly in the bio-healthcare business. We provide Mint MD, which is a platform connecting the medical and industrial sectors. MintMD’s ‘Dr. Wiz’ provides expert advice and consulting by linking clinical medical experts with companies, and Mint MD’s ‘Dr. Match’ helps companies recruit medical experts. At Mint Venture Partners, we are committed to pioneering the venture studio model in Korea, ensuring that bio-healthcare startups have the support they need to thrive and innovate in this rapidly evolving industry. Special thanks to Korea BIO for organizing the conference, Dr. Young Hoon Kim for chairing the session, Seung Gyu Lee (Vice President, Korea BIO) and Junghwan Park (CEO, MEZOO) for the insightful discussion! 💡 #MINTVenturePartners #MintMD #Startup #VentureStudio #Healthcare #Biotech

Howdy Pillgrims! Dose 110 is out now - be sure to take this week’s medicine. This week’s dose included a mushroom-based energy drink, a Pillfolio update, and a startup that’s leveraging AI to map the underground. Here’s the breakdown 1. Odyssey Wellness raised $6M in funding, including participation from Richard Laver and existing investors. The startup makes beverages that tap into the health benefits of Lion’s Mane and Cordyceps mushrooms to promote brain performance and boost energy, focus, and mood. 2. Pillfolio Update! Betr announced $15M in funding, boosting their valuation to $375M. The round was co-led by Harmony Partners and 10X Capital, joined by existing investors Fuel Venture Capital, Aliya Capital Partners, Eberg Capital, and others. Originally a micro-betting platform, Betr has evolved into a sportsbook and media company conglomerate with ambitious expansion plans. 3. Exodigo announced a $105M Series A led by Greenfield Partners and Zeev Ventures, including participation from SquarePeg, 10D , National Grid Partners and more. The startup offers groundbreaking solutions for mapping the underground accurately and efficiently using advanced multi-sensing technology with proprietary AI. That's all, folks! As always, thank you for listening and please like this post to help spread the word about these innovative startups. #venturecapital #startups #AI

🚀 In this week’s edition of Health Tech of the Week, we’re shifting focus from innovative startups to the perspective of the investors who fuel their growth. ✨ Curious about what MedTech startups need to succeed in securing funding? Our guest Aleksander Kłósek from YouNick Mint Venture Capital shares what truly makes a startup stand out to investors. 💡 Aleksander reveals that a strong, complementary team is often more important than just having a groundbreaking idea. MedTech and BioTech startups face unique challenges—regulatory hurdles, clinical demands, and complex product development cycles—and it takes more than just tech skills to navigate them. Read the full article and learn what investors like YouNick Mint are looking for in the next big thing in MedTech. 👇 👉EN: https://lnkd.in/db_6QSA9 👉PL: https://lnkd.in/dHMKqfNi #HealthTechofTheWeek #Startups #Innovation #Medicine #Health #MedTech #HealthTech #NewTechnologies