Emerging Trends For Life Sciences IPOs During The Pandemic

By Frank Rahmani and Istvan Hajdu

The IPO market for life sciences companies has been robust in 2020 and is expected to remain strong in 2021. According to Deal Point Data, from January 1, 2020 through October 31, 2020, 83 life sciences companies, inclusive of biotech/pharma, medtech, and diagnostics/tools, had completed their IPOs, raising gross proceeds of approximately $14.9 billion, compared to 59 IPOs and $6.2 billion raised for all of 2019.

Although the COVID-19 pandemic has impacted company operations and, in many instances, supply chains, patient enrollment, and resulting clinical trial timelines, investors in the public markets remained highly receptive to new issuances, especially for the life sciences sector.