SYS-CON MEDIA Authors: PagerDuty Blog, Michael Jannery, Pat Romanski, Elizabeth White, Liz McMillan

News Feed Item

Midwest Healthcare Startups Raise $758 Million in 2013

Ohio and Minnesota Leading States

CLEVELAND, Jan. 27, 2014 /PRNewswire-USNewswire/ -- Midwest healthcare companies attracted $758 million in new investments across 217 companies in 2013 according to the BioEnterprise Midwest Healthcare Venture Investment Report.  As with the nation-wide trend, Midwest investment decreased from 2012. Ohio ($296 million) and Minnesota ($228 million) led Midwestern states in attracting investment dollars; Minneapolis and Cleveland were the leaders among Midwest regions.

(Logo: http://photos.prnewswire.com/prnh/20101028/DC90488LOGO)

"Overall, Midwest healthcare investment activity reflects the nation-wide decrease in healthcare investing; however, Midwest investment remains strong, outpacing 2009 and 2010 in investment dollars attracted. In addition, greater numbers of Midwest healthcare companies received funding in 2013 than in any of the previous 5 years," said Aram Nerpouni, President & CEO of BioEnterprise. "The Midwest has developed a robust pipeline of high quality companies."

By sector, the 2013 equity funding was allocated as follows:

  • Medical device companies: $423 million (59%)
  • Biopharmaceutical companies: $183 million (25%)
  • Healthcare IT and service companies: $117 million (16%)

"The Midwest, in contrast to other parts of the country, remains strong in the medical device sector; in addition, the healthcare IT sector is showing signs of steady growth, with increasing numbers of companies funded each year," said Nerpouni.  "We anticipate an ever-growing pipeline of companies, primarily in the medical device sector and followed by healthcare IT."

The Midwest Healthcare Venture Investment Report includes all reported numbers and regionally collected data. For complete state and region results across the Midwest, see the attached table. To view additional data about Midwest healthcare business activity visit www.bioenterprise.com/reports.

Table:  Midwest Healthcare Venture Investment (By State)

State

2013

2012

2011

2010

2009


$ Millions

# of Cos.

$ Millions

# of Cos.

$ Millions

# of Cos.

$ Millions

# of Cos.

$ Millions

# of Cos.

Illinois

30.1

10

146.2

10

44.2

9

160.9

11

38.9

8

Indiana

31.9

18

64.7

11

14.1

9

25.05

16

76.3

14

Iowa

-

-

-

-

-

-

7.3

1

36.8

3

Kansas

10.2

2

-

-

18.5

2

14.5

13

4.3

5

Kentucky

10.4

2

33.8

4

11.5

7

11.4

4

97.3

7

Michigan

70.2

16

107.1

16

30.8

16

76.3

12

102.2

14

Minnesota

227.7

74

164.7

17

223.3

24

138.7

20

199.0

23

Missouri

19.1

7

57.2

6

168.7

9

19.9

9

65.8

8

Ohio

295.8

69

291.7

70

177.8

67

147.2

47

105.4

40

Western Pennsylvania

46.2

12

81.5

37

67.0

25

86.2

20

37.8

24

Wisconsin

16.8

7

48.8

11

53.8

9

51.3

9

16.2

10

Total

758.4

217

995.7

182

809.7

177

738.8

162

780.0

156

Table:  Midwest Healthcare Venture Investment (By Region)**

Region

2013

2012

2011

2010

2009


$ Millions

# of Cos.

$

Millions

# of Cos.

$  Millions

# of Cos.

             $           Millions

# of Cos.

$ Millions

# of Cos.

Chicago

30.1

9

146.2

9

44.2

9

160.9

11

38.9

8

Indianapolis

20.6

11

64.7

10

11.5

7

18.5

9

41.2

9

Louisville

10.4

2

7.9

3

11.4

6

11.4

4

2.5

4

Detroit-Ann Arbor

65.2

10

107.1

15

23.0

10

46.5

8

68.8

7

SW Michigan

4.5

5

-

-

7.8

6

29.8

4

14.5

5

Minneapolis

227.7

74

162.4

15

223.3

24

138.7

20

199.0

23

St. Louis

19.1

7

57.2

6

112.7

8

18.9

9

27.8

7

Kansas City*

10.2

2

-

-

18.5

2

15.4

13

42.3

6

Cincinnati*

53.8

5

77.3

12

37.3

6

8.5

4

121.2

8

Cleveland

201.2

50

226.5

43

124.7

40

135.1

33

66.3

21

Columbus

40.9

14

13.3

11

15.1

19

3.1

5

12.4

13

Pittsburgh

46.2

12

81.5

37

67.0

25

86.2

20

37.8

24

Wisconsin

16.8

7

48.8

11

53.8

9

51.3

9

16.2

10

* Border MSAs such as Kansas City and Cincinnati include deals from both states in those geographies; deals are aggregated into state totals based on the MSA's principal state

**Regions' totals do not equal states as not all areas are included in list of regions

Sources: Compiled by BioEnterprise from Venture Wire, Private Equity Week, Wall Street Journal, Venture Source, SEC Filings, company press releases, www.biospace.com, and Midwest bioscience organizations and institutions.

About BioEnterprise
BioEnterprise is a business formation, recruitment, and acceleration effort designed to support the growth of bioscience companies. Located in Cleveland, BioEnterprise provides management counsel and support services to healthcare companies. BioEnterprise partners are Case Western Reserve University, Cleveland Clinic, University Hospitals, Summa Health System, and the Austen BioInnovation Institute in Akron. Additional technology partners include the NASA Glenn Research Center, Cleveland State University, NorTech, and BioOhio.

The initiative comprises the collective activities of BioEnterprise and its partners' commercialization offices:  the Case Office of Technology Transfer, Cleveland Clinic Innovations, University Hospitals Case Medical Center - Center for Clinical Research and Summa Enterprise Group.  The combined efforts of these groups has created, recruited, and accelerated more than 170 companies in eleven years.

SOURCE BioEnterprise

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
We are all here because we are sold on the transformative promise of The Cloud. But what good is all of this ephemeral, on-demand infrastructure if your usage doesn't actually improve the agility and speed of your business? How must Operations adapt in order to avoid stifling your Cloud initiative? In his session at DevOps Summit, Damon Edwards, co-founder and managing partner of the DTO Solutions, will highlight the successful organizational, process, and tooling patterns of high-performing c...
The 4th International DevOps Summit, co-located with16th International Cloud Expo – being held June 9-11, 2015, at the Javits Center in New York City, NY – announces that its Call for Papers is now open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the world's large...
Cloud Expo 2014 TV commercials will feature @ThingsExpo, which was launched in June, 2014 at New York City's Javits Center as the largest 'Internet of Things' event in the world.
“We help people build clusters, in the classical sense of the cluster. We help people put a full stack on top of every single one of those machines. We do the full bare metal install," explained Greg Bruno, Vice President of Engineering and co-founder of StackIQ, in this SYS-CON.tv interview at 15th Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
In this demo at 15th Cloud Expo, John Meza, Product Engineer at Esri, showed how Esri products hook into Hadoop cluster to allow you to do spatial analysis on the spatial data within your cluster, and he demonstrated rendering from a data center with ArcGIS Pro, a new product that has a brand new rendering engine.
"Blue Box has been around for 10-11 years, and last year we launched Blue Box Cloud. We like the term 'Private Cloud as a Service' because we think that embodies what we are launching as a product - it's a managed hosted private cloud," explained Giles Frith, Vice President of Customer Operations at Blue Box, in this SYS-CON.tv interview at DevOps Summit, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
"People are a lot more knowledgeable about APIs now. There are two types of people who work with APIs - IT people who want to use APIs for something internal and the product managers who want to do something outside APIs for people to connect to them," explained Roberto Medrano, Executive Vice President at SOA Software, in this SYS-CON.tv interview at Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
The Software Defined Data Center (SDDC), which enables organizations to seamlessly run in a hybrid cloud model (public + private cloud), is here to stay. IDC estimates that the software-defined networking market will be valued at $3.7 billion by 2016. Security is a key component and benefit of the SDDC, and offers an opportunity to build security 'from the ground up' and weave it into the environment from day one. In his session at 16th Cloud Expo, Reuven Harrison, CTO and Co-Founder of Tufin,...
SYS-CON Media announced that Splunk, a provider of the leading software platform for real-time Operational Intelligence, has launched an ad campaign on Big Data Journal. Splunk software and cloud services enable organizations to search, monitor, analyze and visualize machine-generated big data coming from websites, applications, servers, networks, sensors and mobile devices. The ads focus on delivering ROI - how improved uptime delivered $6M in annual ROI, improving customer operations by minin...
The move in recent years to cloud computing services and architectures has added significant pace to the application development and deployment environment. When enterprise IT can spin up large computing instances in just minutes, developers can also design and deploy in small time frames that were unimaginable a few years ago. The consequent move toward lean, agile, and fast development leads to the need for the development and operations sides to work very closely together. Thus, DevOps become...
Puppet Labs on Wednesday released the DevOps Salary Report, based on salary data gathered from Puppet Labs' industry-recognized State of DevOps Report. The data confirms that market demand for DevOps skills is growing, and that DevOps engineers are among the highest paid IT practitioners today. That's because IT organizations today are grappling with how to be more agile and responsive to the business, while maintaining the stability of their infrastructure. DevOps practices, such as continuous ...
AppDynamics, the application intelligence leader for software-defined businesses, announced the general availability of the AppDynamics Fall '14 Release. Serving the combined needs of IT and business teams across the enterprise, the latest release provides a comprehensive view across all aspects of digital performance in ultra large scale deployments. AppDynamics delivers Application Intelligence by building out advanced capabilities across the key areas of analytics, unified monitoring and D...
CloudBees, Inc., has announced a $23.5 million financing round, led by longtime CloudBees investor Lightspeed Venture Partners. Existing investors Matrix Partners, Verizon Ventures and Blue Cloud Ventures also participated in the round. The latest funding announcement follows earlier rounds of $4 million, $10.5 million and $10.8 million, bringing the total investment in CloudBees to just under $50 million since the company’s inception in 2010. Previous venture investment rounds were led by Ma...
“We are strong believers in the DevOps movement and our staff has been doing DevOps for large enterprise environments for a number of years. The solution that we build is intended to allow DevOps teams to do security at the speed of DevOps," explained Justin Lundy, Founder & CTO of Evident.io, in this SYS-CON.tv interview at DevOps Summit, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Can the spatial component of your Big Data be harnessed and visualized, adding another dimension of power and analytics to your data? In his session at Big Data Expo®, John Meza, Product Engineer and Performance Engineering Team Lead at Esri, discussed the spatial queries that can be used within the Hadoop ecosystem and their integration with GeoSpatial applications. The GIS Tools for Hadoop project was also discussed and its implementation to discover location-based patterns and relationships...