The med-tech initial public offering market was strong in 2007, continuing an upward trend seen in 2006 following the significant slump experienced in 2005.

Medical Device Daily reported on 38 IPO filings this past year, 28 of them completed, compared to the 22 IPOs filed and completed in 2006. MDD reported on just 14 IPOs in the med-tech arena in 2005.

In total, med-tech and med-tech related firms we reported on raised about $$2.5 billion in 2007. This compares to a little more than $1 billion raised by the 22 companies reported on in 2006.

Leading the pack in 2007 was medical supply chain provider MedAssets (Alpharetta, Georgia) which raised gross proceeds of more than $240 million in December, including about $30 million with the exercise of over-allotment options.

In the “pure-play” med-tech category, the leader was radiation therapy developer Tomotherapy (Madison, Wisconsin), with an IPO priced at $186 million in May.

Overall, healthcare IPOs were strong players in 2007. More than half of IPOs in the healthcare sector were priced within or above the anticipated ranges, according to a report from Reuters, and 66% of them were still trading at or above their IPO prices.

If the 10 companies that filed for IPOs, but did not close, follow through with their offerings in 2007, this could provide another strong foundation for the med-tech IPO market in 2008, with potential to raise more than $600 million. (But market analysts obviously will be closely following this trend in 2008, given the continuing flow of downside economic news in the U.S. that has marked the first month of the year.)

Following in alphabetical order are the 28 IPOs closed and reported on by MDD last year.

• Amedica (Salt Lake City), $57.8 million (net).

• Bioheart (Sunrise, Florida), $46.9 million (net).

• Bioform (San Mateo, California), $83.4 million (net).

• BG (Waltham, Massachusetts), $80 million (net).

• CCS Medical Holdings (Clearwater, Florida), $137.8 million (gross).

• China Healthcare Acqusition (Pasadena, California), $51 million.

• Concentric Medical (Mountain View, California), $69 million (net).

• Critical Homecare Solutions (CHS; Conshohocken, Pennsylvania), $125 million (gross).

• Emphasys Medical (Redwood City, California), $86.3 million (gross).

• EnteroMedics (St. Paul, Minnesota), $46 million (net).

• Genoptix (Carlsbad, California), $72.7 million (net).

• Helicos Biosciences (Cambridge, Massachusetts), $43.2 million (net).

• Highlands Acquisition (New York) $120 million (gross).

• Insulet (Bedford, Massachusetts), $115 million (gross)

• InterCure (Fort Lee, New Jersey), $16 million (net).

• IPC The Hospitalist Company (North Hollywood, California), $105 million.

• MAP Pharmaceuticals (Mountain View, California), $69 million (net).

• Masimo (Irvine, California), $48 million (net).

• MedAssets (Alpharetta, Georgia), $212.8 million (gross).

• Power Medical Interventions’ (PMI; Langhorne, Pennsylvania), $35.9 million.

• Virtual Radiologic (VRC; Minnetonka, Minnesota), $78.2 million

Reliant Technologies, (Mountain View, California), $86 million (gross).

• Skilled Healthcare Group (Foothill Ranch, California), $116.8 million (gross).

• TomoTherapy (Madison, Wisconsin), $189.1 million (gross).

• TransMedics (Andover, Massachusetts), $86.3 million.

• Transoma Medical (St. Paul, Minnesota), $75 million (net)

• TranS1 (Wilmington, North Carolina), $82.5 million (net).

• XDx (Brisbane, California), $86.25 million.

Following are the 10 IPOs and the amounts filed for but not closed last year, reported by MDD:

• Athenahealth (Watertown, Massachusetts), $86 million.

• CardioMEMS (Atlanta), $70.6 million.

• EyeTel Imaging (Columbia, Maryland), $32.2 million.

• Imarx (Tuscon, Arizona) $12.3 million.

• Mako Surgical (Fort Lauderdale, Florida), $86.25 million.

• Nanosphere (Northbrook, Illinois), $100 million.

• NimbleGen Systems (Madison, Wisconsin), $75 million.

• Precision Therapeutics (Pittsburgh), $80.5 million.

• Response Genetics (RGI; Los Angeles), $21 million.

• SenoRX (Aliso Viejo, California), $69 million.

No Comments