Digital health startups raised a record-breaking $6.7 billion in the first quarter of 2021. Large funding rounds propelled them past previous months.
More healthcare startups are choosing to go public through mergers with special-purpose acquisition companies— publicly-traded shell companies created with the purpose of taking a private company public. But as more SPACs search for targets, and company valuations grow, will the SPAC bubble burst?
The tilt was less pronounced in pharma and biotech, which attracted a record level of investment despite the Covid-19 pandemic according to a quarterly report on VC investment activity.