Healthcare IT Funding and M&A Activity Up Compared to Q1 2011
Mercom Capital Group llc, a global communications and consulting firm,
today released healthcare IT funding and merger and acquisition
(M&A) activity for the second quarter of 2011.
Venture Capital (VC) funding in the healthcare IT sector in Q2 2011
almost doubled with $66 million in six deals compared to $35 million in
seven deals in the previous quarter. VC funding for the same quarter
last year came to $93 million in five deals.
The top VC funding rounds included a $27 million raise by ABILITY
Network, $23 million by Practice Fusion, $11.5 million by Explorys and
$4 million by MyHealthDIRECT. Fifteen different VC investors
participated in healthcare IT funding rounds.
M&A activity in the healthcare IT sector had dipped in Q1 2011 but
saw an upturn this quarter with $703 million going into 23 deals
compared to $306 million in 14 deals during Q1 of 2011.
Major M&A transactions included the acquisition of Vital Images by
Toshiba Medical Systems for $273 million, Medical Present Value by
Experian for $185 million and AdvanceMed by NCI for $62 million. Verisk
Analytics acquired two companies: Bloodhound Technologies for $82
million and Health Risk Partners for $60 million.
Health Information Management companies were involved in the most funding and M&A transactions this quarter.
For a complete list of Q2 2011 transactions in the healthcare IT sector, visit: http://mercomcapital.com/healthcareitreports.php