Health IT IPOs reach record levels

2015 has been a record year for health IT initial public offerings, with investment in IT companies growing by more than five times than the investment levels of 2007.

According to a report from Healthcare Growth Partners, the number of public health IT companies year-to-date as of July 1is 36, an 89 percent increase from the 19 public companies in fiscal year 2007. What's more, the total enterprise value of those companies grew 606 percent, from $12.4 billion in FY 2007 to $87.3 billion YTD July 1.

The number of IPOs for health IT companies went up from three in FY 2007 to seven already this year, and IPO proceeds skyrocketed from $394 million in FY 2007 to $2.1 billion as of July 1.

"Regulatory, technology and capital forces have combined to dramatically accelerate the rate of investment activity in health IT with 2015 investment surpassing that of 2007 by more than five times by most measures," according to the report. "With these investments maturing, and as investors seek liquidity or late stage capital, the IPO has emerged as an attractive and viable strategic alternative."

More articles on IPOs:

Teladoc's IPO raises $157 million
NantHealth plans IPO following Allscripts' investment in company
Fitbit goes public: 4 things to know

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