02.17.21

Ophthalmic Fundraising Activity Soars in Face of Pandemic

Source: Market Scope

The ophthalmic market continues to expand and attract funding from investors. There were more deals in 2020 than the two previous years, and transactions totaled $8.6 billion, according to a new Market Scope report.

Retina is the largest ophthalmic market sector, driven by a booming pharmaceuticals market, with an estimated $14.2 billion in manufacturer revenue in 2020. The retina sector continues to attract investors and accounted for 46.9 percent of funds raised in 2020.

Many companies are working on disruptive products to prevent and treat causes of blindness, and retina transactions were prominent in all fundraising types. Gene therapy investment continued to drive activity in the retina sector; 2020 saw two Series A rounds, two Series B fundings, one Series C financing, and two IPOs from companies pursuing retinal gene therapy candidates.

Heavy activity in the US, particularly from Orange County, California, continued from frequent venture capital firms such as Visionary Ventures and Flying L Partners. Last year also saw new investors in ophthalmology such as China-based firms Lilly Asia Ventures and Quan Capital. Venture capital investment in ophthalmology reached $1.2 billion in 2020, up 22.4 percent from 2019.

Market Scope’s recently published 2020 Ophthalmic Deals Book covers investments in ophthalmic ventures in 2020 and 3 years of historical context, including venture capital, public offerings, licensing, milestone payments, sales of companies, and major borrowings.

Market Scope’s “2020 Ophthalmic Deals Book” was published in February.

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