Minnesota’s health technology sectors, aka “Medical Alley”, has shown three consecutive years of record-breaking fundraising, according to a report recently released by the Medical Alley Association. Medical Alley companies raised nearly $336 million in Q1-3, with $117 million raised just in the third quarter.
A combination of factors are contributing to fundraising’s sustaining pace: ongoing innovation, a seasoned entrepreneurial community and investor interest coming from the coasts and Midwest.
“In particular, Medical Alley’s digital health community is setting the standards for the evolution of health care. With our deep health care expertise and #1 ranking in innovation, investors are aggressively targeting this market,” stated Shaye Mandle, president and CEO of the Medical Alley Association.
Investment growth in the medical device sectors continues to be strong with a Q3 total of $10.2 million and 33 device companies have gathered $201.6 million YTD. The most notable raises were Torax Medical and Cogentix Medical, both raising $25 million. The digital health sector of the Medical Alley had an impressive 48% growth YTD in comparison to the entirety of 2015.
Minnesota’s Medical Alley has been a hotspot health technology investment for three years that Mandle observed, “as other regions experience investment declines in health technology funding, our leadership and expertise is producing consistent record-breaking performance.”