2021: a breakthrough year for Healthtech & Biotech

Health and biotech startups passed a combined $4T in value in 2021. With record VC investment raised, and more unicorns produced than in any previous 12-month period, we look back on 2021, a breakthrough year.

Record investment and valuations

Healthtech and biotech has consistently been a top sector for the destination of venture capital in recent years. In 2021, the health and biotech industry was second to only Fintech by VC investment raised.  

Following an unprecedented pandemic-driven investment surge in 2020, investment figures nevertheless remained resilient through 2021. Healthtech startups have raised a record $63B, a 1.6x increase vs. 2020. Biotech startups raised 1.1x ​​2020’s funding total, at $41B.

Combined enterprise value of healthtech and biotech companies founded since 1990 is now $4T. Healthtech companies globally have reached a combined value of $1.7T, a 4.5x increase since 2017. Biotech companies are valued at $2T, a 4.1x increase since 2017.

There are now 202 healthtech unicorns, 70 of which passed the billion dollar mark in 2021 alone. Also, 2021 created 28 new biotech unicorns, for a cumulative number of 192 unicorns.

The US leads by VC investment in healthtech and Europe is the fastest growing region in 2021. 

The US attracts the highest amount of investment in healthtech compared to other geographies, still the European share of VC investment is at an all-time high, while China has shrunk and the rest of Asia is quickly catching up.

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