Tuttlingen – MedicalMountains and Medimatch Partners GmbH continue the consultation days “M&A in medical technology medium-sized companies” on September 13th and November 8th. In his guest contribution, Dr. Tobias Weiler this time to what extent strategic alliances with investors from outside the industry can be a model for success.
The next free online talk day 'M&A in medical technology medium-sized companies' is on
Tuesday September 13th: further information and registration
Tuesday, November 8th: further information and registration
Medical technology market 2022 – strategic alliances with companies from outside the industry: a model for success?
from Dr. Tobias Weiler (Medimatch Partners Gmbh)
This year's medical technology trade fair MedtecLIVE with T4M (www.medteclive.com) in Stuttgart showed that medical technology can be an attractive market for companies from outside the industry, especially in mechanical engineering and precision engineering. Different forms of cooperation such as OEM partnerships, sales cooperations and strategic investments are the order of the day. The medical technology industry has also become more heterogeneous. The increased networking of products and services to form complex systems, the gradually dissolving boundaries to neighboring sectors such as biotechnology, laboratory technology and the pharmaceutical industry, as well as medical apps increasingly penetrating the market as combination products in the course of digitization already have room for know-how opened up to other sectors and create a need for further action.
The medium-sized medical technology companies are predestined for cooperation with companies from other sectors: via the widespread contract manufacturing (mostly production of high-quality small series) there are already contacts to companies, especially in the precision mechanics and optics industry. The current challenges that have already been described in many places, such as regulation, digitization, system orientation and internationalization, as well as the succession problem in medium-sized companies, also make it advisable to consider external partnerships as an option for action in addition to internal reorganization.
Strategic investors from related sectors are definitely interesting
Strategic investors from related industries are definitely interesting. They do not judge the target company solely on the basis of its earning power, but are interested, for example, in increasing their own market share, in synergy effects or patents and technologies as part of a horizontal expansion. These interests can justify higher-than-normal valuations. In addition, strategic investments usually provide for the integration of the company to be bought. Company headquarters and corporate culture are therefore important factors for a successful integration process.
On the other hand, financial investors are also interested in medium-sized medical technology companies with their constant growth rates and their promising potential against the background of demographic developments
