Top Device Stories of 2009: A Year of Economic Revival and Regulatory Risk

2009 was the most difficult year the device industry faced in a long time, particularly given the boom years that preceded it. Public and private investors grew nervous and sat on the sidelines, as did most corporate acquirers. As a result, most start-ups found it difficult to raise money and VCs were frustrated by the poor returns being generated, especially compared with the previously frothy climate. The silver lining may be that there are signs that the economic environment may be improving and that corporate acquirers will continue to pay a premium for the right deal. Overhanging all of this, however, is the specter of health care reform and its impact on the device industry, whether through a device tax, comparative effectiveness or some unanticipated other result, meaning the industry is far from out of the woods.

by EBI's Medical Device Team

While pundits and commentators debated, more broadly, whether the decade of the 2000s was the worst in history, there's little doubt that 2009—the long 2009 that began in the fourth quarter of 2008—was the most taxing year the industry has faced in a long time. Short of a handful of executives at a handful of companies that saw big deals—CoreValve, Evalve, Acclarent, to name just three—most device executives found the going tough as public and private investors grew nervous and corporate acquirers sat back, for the most part, waiting to see what the year would bring

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