August 27, 2014 by Arezu Sarvestani
Total venture capital dollars invested in medical device companies jumped more than 20% during the 2nd quarter, but early-stage companies are still out in the cold.
Life science venture capital funding saw a major boost in the 2nd quarter as public markets smiled on biotech companies, but medical device makers saw a significant boost of their own – as long as they weren’t early-stage firms.
Device makers collected $649 million during Q2 2014, a 23% bump over the same period last year, according to a new report from PricewaterhouseCoopers. The number of deals decreased to 73, down year-over-year from 77 deals reported in Q2 2013.
Late-stage deals saw most of the funding as the early-stage drought continued in medtech.
Early-stage funding amounted to $169 million in 24 deals, representing a 10% decrease year over year and a 22% decrease quarter-over-quarter. Average funding size for early-stage deals was $7.1 million.