Despite a subpar market performance for healthcare companies last year, healthcare venture fundraising and exits in 2021 smashed previous records, reflecting a continued excitement and push for hypergrowth in the industry.
Total U.S. venture funding rose to $28.3 billion, according to a new report by Silicon Valley Bank, nearly doubling 2020’s record, boosted by explosive first and second quarters.
But as a record number of companies rushed for the doors, post-exit performance slumped. The healthcare market underperformed the S&P 500 last year for the third year in a row, dragged down by broad selloffs in digital health and biotech.
