Minneapolis–St. Paul

Digital health in Minnesota is getting a larger share of med tech investment

Chart of the week: February 15, 2016

• Medical technology investment in Minnesota-based firms reached a record $435 million in 2015. Also for the first time ever, digital health investment reached $67 million, an increase of 59 percent from 2014.

• In January, it was announced that Zipnosis, a virtual clinic provider, raised $17 million in venture capital.• Two local start-ups that aim to improve health insurance via purchasing support and incentivizing

programs, Gravie and Novu, respectively raised $12.5M and $20M in venture funding in 2015. Proximity to headquarters for UnitedHealth Group and its healthcare technology subsidiary Optum is likely to encourage more Minnesota-based growth in this emerging subsector.

Sources: JLL Research, Medical Alley Association

2011 2012 2013 2014 2015$0

$100

$200

$300

$400

$500

$211.1 $208.0

$300.3 $322.4 $302.0

$40.5 $14.7

$28.9$42.3 $67.1

$5.6$25.3

$5.2$7.7 $27.2

$11.3$1.0

$4.4$48.5 $28.8

9.83

Medical Device Digital Health Diagnostics Pharmaceuticals Other

$434.9M raised

Total investment raised by Minnesota companies ($M)