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Thank you for visiting HealthcareBanker.com a news aggregator of middle-market mergers and acquisition activity in the healthcare industries. This site addresses investment banking topics dealing with M&A, Capital Raising, Borrowing/Lending and other Corporate Development and Finance activities within the Healthcare Services, Healthcare IT, Medical Device, and Life Science industries.

Tuesday, August 25, 2015

New Fund for Life Sciences & Healthcare IT

Hatteras Venture Closes $90M Life Sciences, Health IT Fund


(from Exome)

Hatteras Venture Partners has reloaded, closing a new fund this morning to make a fresh round of investments in life science and health IT companies.
The Durham, NC-based venture capital firm has raised more than $90 million for the fund, the company’s fifth. Ireland-based Malin (ISE: MLC) led the investment, which could reach as much as $150 million and be the firm’s largest fund to date.

Clay Thorp, a Hatteras co-founder and general partner, says Malin will broaden the opportunities for the firm’s portfolio companies by helping to connect startups to its network of potential partners. Malin already has some connections to Hatteras companies. The company last fall participated in the $60 million Series D round for Viamet Pharmaceuticals, and in March, led a $50 million investment in Novan Therapeutics, both Durham-based Hatteras portfolio companies. Rather than operate as an investment firm, Thorp describes Malin as a holding company with “long-term, patient capital.” He says the approach to building long-term value could give Hatteras portfolio companies additional options besides an initial public stock offering or an acquisition.

Wednesday, August 19, 2015

Moody's Upbeat On Medical Devices

Moody's: US medical devices outlook brightens on M&A synergies, new products and admission trends

(from Moody's)

Global Credit Research - 18 Aug 2015

New York, August 18, 2015 -- The US medical products and devices industry will see solid EBITDA growth over the next 12 to 18 months, driven by large M&A deals, new products and an uptick in growth of hospital admissions, says Moody's Investors Service. The rating agency has revised its outlook to positive from stable on the industry.

"While effects from foreign exchange will show lower year-over-year growth over the next one to two quarters, we expect EBITDA growth of 4%-5% for most of the outlook period," says Diana Lee, a Moody's Vice President - Senior Credit Officer.

Monday, August 17, 2015

Medtech Breast Cancer Screening Saves Lives & Money

Breakthrough Mayo Clinic Study Highlights MBI Secondary Screening Technology as a Cost-Effective Way to Increase Accurate Breast Cancer Diagnoses

(from Fierce Medical Devices)

Four-fold increase in cancer detection rates seen in the 45 percent of women with dense breast tissue and 15 percent cost reduction per cancer detected

SALEM, N.H., Aug. 17, 2015 /PRNewswire/ -- A recent study conducted by Mayo Clinic has determined that the addition of Molecular Breast Imaging (MBI) for women with dense breast tissue resulted in a lower cost per cancer detected than screening with mammography alone. The MBI technology known as LumaGEM®, developed and commercialized by Gamma Medica, Inc., is a cost-effective tool for detecting early stage cancers in women who have dense breast tissue, which accounts for 45 percent of all women. The study, published in the American Journal of Roentgenology (AJR), entitled,"Diagnostic Workup and Costs of a Single Supplemental Molecular Breast Imaging Screen of Mammographically Dense Breasts," found MBI technologies led to more accurate diagnosis rates, and in combination with mammography, resulted in a cost savings of approximately 15 percent.

Wednesday, August 12, 2015

Biotech IPO's Still HOT

Global Blood Thera Nabs $120M IPO, Doubles Share Price On First Day

(from exome)

[Updated with first-day trading information, 1pm, 8/12/15.] The biotech bull run rolls on. Halfway through its first day of trading Wednesday, Global Blood Therapeutics has nearly doubled its share price, which for now makes the four-year-old company worth more than $1 billion.

The firm sold 6 million shares at $20 each to raise $120 million in its initial public offering Tuesday, despite having the barest of clinical information about its lead product, a chronic treatment for sickle cell disease.

Monday, August 10, 2015

Hospitalist Group Sells Big


IPC Healthcare of North Hollywood to be acquired for $1.6 billion

(from latimes)

IPC Healthcare Inc., a North Hollywood company that provides doctors to hospitals and other medical facilities across the United States, agreed Tuesday to be acquired by a Tennessee company for about $1.6 billion.

Team Health Holdings Inc. of Knoxville will pay $80.25 a share for IPC in an all-cash deal it said would create “the nation's leading physician services organization.”

Team Health's offer was a 37% premium above IPC's closing price of $58.46 on Monday. IPC's stock jumped on the news, gaining $20.79, or 36%, to close Tuesday at $79.25.

Friday, August 7, 2015

Top 15 PE Healthcare Investing Niches


Private equity investment in healthcare: 15 healthcare investment niches — A review of key sectors for 2015


(from Becker's Hospital Review)

Private equity investment in healthcare continues to grow considerably. This article provides thoughts, observations and insights on 15 investment niches. It also provides some initial thoughts on the market as a whole.

Here, we divide the article into three parts. First, there is a review of investment by private equity as a whole. Second, the article discusses the largest investment areas – for-profit hospitals and health systems, health information technology – EHR, laboratory business, medical devices and behavioral health. Third, it discusses 10 other areas including urgent care, dental practice management, ambulatory surgery centers, dermatology, care and case management, back office services for ACOs and population health, anesthesia practice management, revenue cycle management, pharmacy and pain management.

Wednesday, August 5, 2015

Cannabis Pharma Gets High on IPO


Cannabis patch startup pulls off a $42M IPO to fund drugs for epilepsy, pain

(from Fierce Biotech)

Pennsylvania drugmaker Zynerba Pharmaceuticals ($ZYNE) is making its way to Wall Street with some cannabis-derived treatments for central nervous system disorders, raising $42 million in an IPO.

The company priced 3 million shares at $14 each, the middle of its range, and set aside another 450,000 shares for its underwriters to line up for as much as $51.8 million in total.

With the proceeds, Zynerba will press forward with a pair of early-stage transdermal patches that mete out cannabinoid chemicals to treat a host of CNS ailments. ZYN002, slated to enter clinical trials in the second half, has shown promise in refractory epilepsy, Fragile X syndrome and osteoarthritis pain, the company said. And ZYN001, in line for Phase I next year, targets fibromyalgia and peripheral neuropathic pain.