M&A expertise in our Digital Health Market Update: H2/2024

In the second half of 2024, the German Digital Health sector showed limited growth, with deal activity gradually picking up after a slower period in the first half of the year. While the economic environment remains challenging due to persistently high interest rates, the sector is demonstrating some resilience. Valuations in select private M&A transactions remain attractive, suggesting that there is still investor confidence in its long-term potential, despite the current slower pace of expansion.

We analyse market developments and deal activity in the following chapters:

Market overview: The global Digital Health industry continues to grow steadily, with a projected CAGR of 8.3% in the coming years. In Germany, the sector is evolving, driven by key trends such as big data analytics, healthcare robotics, in-home healthcare, and improved data interoperability. As these technologies become more integrated, they are shaping the future of healthcare, positioning Germany to benefit from the ongoing digital transformation in the sector.

Deal activity and valuation: M&A deal activity in the digital health sector slowed in 2024 after peaking in 2021. While transaction volumes have dipped, consolidation is increasing as companies strengthen portfolios and adapt to a rapidly evolving landscape. Technological advancements, including generative AI and digital solutions, are creating growth opportunities, with companies focused on enhancing capabilities and patient care.
 
Spotlight: Healthcare robotics in Germany  - advancing the use of robotics to improve patient treatment and operational efficiency across healthcare settings.

We would like to thank you for your interest in our Digital Health market update.