From nearly every angle, med-tech financings in 2020 are at a four-year high, raising the industry a whopping $59.7 billion, a 47% increase over the prior year. The records were set despite the deadly SARS-CoV-2 virus that shut down global economies throughout 10 months of the most disruptive year in a lifetime. The pandemic highlighted a widespread need for med-tech technologies, such as diagnostics, for which the industry delivered hundreds of options. Likewise, ventilators, personal protective equipment, telemedicine capabilities and wearables were in high demand.

The volume of med-tech deals and M&As in 2020 reached impressive levels, well above 2019, primarily due to the demands of a global pandemic, although the disclosed values of those alliances fell dramatically short. Even so, the spotlight that shined on digital health and diagnostics throughout the challenging year has potentially set up the med-tech industry for an influx of attention going forward.

A decade from now, 2020 likely will be considered a year like no other in terms of the massive amounts of capital raised amid a raging pandemic. Financing transactions of all types smashed records and in terms of volume hit 1,580, a total that was 42% higher than last year.

With several deals and M&As falling within the highest values on record, 2020 turned out to be a solid year for the biopharma industry. Expectations are optimistic moving into 2021, when the U.S. will welcome a new president and its citizens should reach herd immunity from COVID-19.

The attention the COVID-19 pandemic drew to the biopharma industry, the ease and convenience of virtual meetings, as well as massive amounts of available capital, all led to an extraordinary year for financings in 2020. The momentum appears to be continuing, particularly with venture capital rounds.