June 2024 Pan-European growth investor focused on theHealthtech sector. Global startup & venture capital intelligence platform Dealroom.co is the foremost data provider on startup,early-stage and growth company ecosystems in Europe andaround the globe. MTIP is a leading Swiss-based growth equity firm investingin European healthtech companies that aim torevolutionize global healthcare. MTIP Fund II and futurefunds are classified as Article 9 funds*. Thus, we are drivento empower innovations with the potential to transformlives and create a meaningful impact on the world. Founded in Amsterdam in 2013, we now work with many ofthe world's most prominent investors, entrepreneurs andgovernment organizations to provide transparency, analysisand insights on venture capital activity. As the healthcare landscape evolves towards digitallyconnected, decentralized, and patient-centric solutions,MTIP is dedicated to investing in European digital care,digital pharma, and health IT companies. Foreword As a growth-stage healthtechcompany, we continuouslyinnovate to meet patients'needs and drive superiorhealth outcomes.“ Healthtech entrepreneursshould adopt a holisticapproach from the start inorder to reach the growthstage.“ Healthtech companies haveseen significant growth overthe past decade, with earlyinnovations now reaching thegrowth stage.“ Understanding stakeholder needs is crucialfor advancing beyond early stages andachieving scale. At EIT Health, our 130consortium partners, including industry,investors, start-ups, academics, andhospitals, provide essential support forthose companies. Thinking big, beingpragmatic, and anticipating changes areessential to attract funding, talent, andensure success in a competitive market.ʼʼ Oviva's unique advantage lies in our abilityto navigate complex European healthcaresystems and secure reimbursed solutions forour patients. We have established scalablesolutions across three markets by combiningAI with personalized obesity phenotypes andsmart patient pathways, driven by strongclinical evidence and demonstratingsignificant efficacy.” At MTIP, we support this evolution, observingmaturation and increased investorconfidence as these companies demonstrateproduct-market fit and commercial traction.The maturation of the healthtech sectorunderscores the urgent need to enhancehealthcare efficiency, driven by staffshortages, physician burnout,and the significant global increasein health spending.” Hélène MathieuHead of Access to FinanceEIT Health Europe Carmel van den BerkInvestment AnalystMTIP Kai EberhardtCEO & Co-FounderOviva Why this report? A big thanks European growth equity in healthtech is gaining relevance. Contributions and insights from conversations with: In 2022, global healthcare spending reached approximately $10 trillion, or 9.2% of globalgross domestic product (GDP), heavily weighing on global economies. This rise in costs isdriven by an increasing disease burden, with 40% of adults globally suffering from at leasttwo chronic diseases, an aging population, high inflation, and rising wages, exacerbated byclinical workforce shortages. As healthcare expenses continue to grow, the need for newbusiness models, driven by entrepreneurial innovation and technology, becomes critical. Carmel van den BerkInvestment AnalystMTIP Patrick GlettigInvestment ManagerMTIP Lorenzo ChiavariniResearch LeadDealroom.co Digitalization of care is crucial for enhancing efficiency, reducing costs, and improvinghealthcare access and outcomes. Historically, the healthcare sector has lagged in technologyintegration, but the pandemic has accelerated the adoption of healthtech solutions.Sub-sectors such as digital care, digital pharma, and health IT are experiencing rapid growth,positioning healthtech as one of the fastest-growing investment segments, ranking as 7thmost funded industry in Europe in 2023. Eglantine DupuyInnovation AnalystDealroom.co Orla BrowneContent ManagerDealroom.co Daniel CapitãoJunior Graphic DesignerDealroom.co Healthtech startups have seen significant growth over the past decade, with earlyinnovations now reaching the growth stage. We observe increased deal volume in the growthequity space across the healthcare industry. Despite a 30% drop in growth stage financingbetween 2022 and 2023 (driven by post-covid health spending stabilization and economicdownturn), the growth stage still attracts the most VC interest in Europe, nearly doubling itsshare of funding rounds over the past five years. Celia Pita CompostizoHead of Market Intelligenceat EIT Health Kai EberhardtCEO & Co-Founderat Oviva Hélène MathieuHead of Access to Financeat EIT Health Europe The outlook for 2024 indicates continued growth, with projected investments expected torise driven by advancements in AI, telemedicine, and personalized healthcare technologies.In this report, MTIP and Dealroom explore the investment landscape of growth-stagehealthtech companies across Europe, highlighting key