healthcare.digital March 1, 2025
Lloyd Price

Exec Summary:

The HealthTech M&A landscape in 2025 is characterised by a mix of opportunity and caution. While innovative technologies continue to drive interest, financial discipline and strategic alignment are crucial for successful deals. The increase of distressed company M&A’s is a large factor in the 2025 market.

Outlook for 2025

  • Multiples are likely to hold steady at 4-6x revenue for most HealthTech firms, with upward pressure in AI, telehealth, and analytics if deal volume surges.

  • Smaller, unprofitable startups may see compression (3-4x) unless they prove profitability or secure strategic buyers.

  • Big Pharma’s looming patent cliffs could drive outlier deals (7-8x or more) for late-stage innovators, especially in biotech-adjacent HealthTech.

Average revenue...

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Topics: Digital Health, Health IT, Mergers & Acquisitions / JV, Technology, Trends
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