Weekly Women’s Health Investing Roundup #1
A round-up of some of the articles and happenings I found interesting last week.
🔦In the Spotlight
Hologic buys developer of minimally invasive solutions for women’s health Gynesonics for $350 M
Gynesonics’ Sonata System complements our offering and will give GYN surgeons across the globe an expanded range of options to treat women suffering from heavy periods and fibroids. This acquisition furthers our commitment to providing women with minimally invasive treatment options. - Brandon Schnittker, Division President of Surgical Solutions at Hologic.
Dr. Siobhain O’ Mahony, founder of FemmeMeno, has secured €761,829 in funding from Enterprise Ireland’s Commercialisation Fund Programme. FemmeMeno is on a mission to support women during peri/menopause with targeted solutions to balance hormones, boost vitality, and enhance overall well-being. The team is developing a scientifically-backed, clinically validated supplement specifically designed to improve health during this important life stage—a promising step forward for women everywhere.
🗝️Key Insights
The Association of Corporate Growth Chicago held a panel discussion on Investing in the Next Generation: Women’s Health.
Regulation and emerging technologies are shaping women’s healthcare
Acquiring a women’s healthcare business comes with risks tied to reimbursement, regulation and patient privacy, among others and hence there are some red flags to look out for when investing in this space.
Some bright spots for investors
Insurance coverage for fertility services has been expanding, with more states mandating partial or full coverage for treatments that typically cost $10,000 to $30,000 per cycle. Currently, 20 states in the US have implemented these mandates, and this trend is expected to grow as demand for fertility services increases.
In maternal fetal medicine (MFM), technology advancements like remote patient-monitoring apps are improving care for high-risk pregnancies by enabling regular communication between patients and physicians. These innovations are expected to improve cost optimization, presenting attractive opportunities for private equity investors in women's health.
Areas enhanced due diligence
A key concern in the regulatory landscape for women’s healthcare is the uncertainty following the post-Dobbs Supreme Court decision, which reversed the constitutional right to abortion access. It is crucial to anticipate potential changes from the current administration.
Digital innovations in women’s healthcare, like period tracking apps, raise important privacy concerns, both for women's health data and for the investments tied to these technologies.
Red flags to look out for
When evaluating early stage women's healthcare ventures, it's crucial for investors to be cautious of companies making grand claims without solid data, as regulatory bodies like the FDA require repeatable, reliable evidence.
Be wary of acquisitions of physician practices where the value creation is based on unrealistic compensation cuts for the acquired physicians, which can damage long-term profitability, or the acquisition of multiple physician practices without proper integration, which can create financial and operational inefficiencies.
Ensuring thorough due diligence and assessing strong data-backed performance are essential for mitigating risks and optimizing returns.
Women’s health is increasingly becoming an area of focus, and for good reason.
If you’re thinking about where to invest, keep an eye on these trends. There’s still a lot of untapped potential here, and it’s worth considering how innovations in women’s healthcare can fit into your broader investment strategy.
👭 If you are a women’s health entrepreneur, we would love to feature you on our Femme Health Founder Series! Send me a message using the below button.
Take care, Maryann
***Disclaimer***