Lexology December 18, 2025
Life sciences companies and investors continue to navigate a complex and challenging investment landscape – marked by high interest rates, a volatile regulatory environment, tight venture capital (VC) markets, and slowly rebounding initial public offering (IPO) activity. Even so, the sector’s deep reliance on partnerships with major pharmaceutical companies and innovative MedTech providers is keeping deal activity alive, enabling strong performers to secure capital while driving life sciences advancements.
Against this backdrop, alternative financing strategies are no longer niche – in life sciences especially, they’re now essential. As costs continue to rise and pricing and reimbursement headwinds shift commercial assumptions, hybrid and crossover financing models – including royalty financing, innovative debt structures, and flexible capital stacks – are reshaping how...







