In the first half of 2016, 84 organizations in the Midwest invested $538 million in healthcare software and services across 93 deals, according to a BioEnterprise Midyear Midwest Healthcare Growth Capital Report.
This is the first time the health information technology segment attracted larger investments than other top investment segments such as biotech and medical devices, noted a Med City News report. Fifty-seven companies participated in 70 deals, resulting in a $280 million investment in the biotechnology sector in the first half of the year. Meanwhile, organizations invested $226 million across 86 deals in the medical devices sector in the Midwest.
According to the Med City News report, each of these top three sectors has dominated the other at some point and this year, health IT came out on top. Across the Midwest, organizations invested in health IT companies. For example, Bright Health in Minneapolis raised $80 million and Accretive Health in Chicago raised $200 million.