Aug 30, 2025

Medtech IPOs in 2025: Signs of a Market Rebound

Medtech IPOs in 2025: Signs of a Market Rebound

2025-medtech-IPOs

The environment for medtech IPOs has shifted noticeably in 2025. After a sluggish 2024, where only a handful of device makers found their way to public markets, the tide is beginning to turn. Eight months into the year, six companies in the U.S. device space have gone public. That’s a meaningful jump compared to last year and could mark the beginning of a more sustained reopening of the IPO pathway.

Before looking at the individual debuts, it’s worth stepping back to understand why the landscape for medtech IPOs feels different this year.

Why IPOs Matter for Medtech

For medtech companies at the right point on their growth curve, going public can be transformative. Beyond raising capital, an IPO can provide:

  • Funding at scale for launches, pivotal trials, and global expansion
  • Transparency and visibility through SEC filings and broader analyst coverage
  • Liquidity and optionality for future strategic moves, including acquisitions

Of course, accessing the public markets brings more scrutiny, but the fundamental mechanism hasn’t changed. What’s new is the backdrop: risk appetite in public markets is thawing, while private capital remains abundant.

Two forces are especially important:

  1. Public markets are warming up. The blockbuster debut of Figma last month captured headlines, with shares closing roughly 250% above the offer price on opening day. That kind of performance suggests pent-up investor demand is real, even if pricing strategies may need to adapt.
  2. Private capital is patient. Venture capital dry powder remains at record levels, allowing many companies to extend their private journeys. This has created a backlog of IPO-ready firms that can move when valuations align.

2025 Medtech IPOs to Date

Six U.S. medtech IPOs have priced between January and August. Beyond the headlines, their day-one trading tells us how investors are weighing clinical data, market opportunity, and scalability.

Beta Bionics (Nasdaq: BBNX): iLet Bionic Pancreas for T1D

Date

Offering

Day 1 Performance

1/30/25

13.8M shares at $17 (upsized), raising $234.6M gross

Opened at $22, +39% close at $23.63

Why It Worked: FDA clearance, a large diabetes market, and a straightforward growth narrative. It was one of the best-performing large IPOs early in the year.

What’s Next: Expansion into pediatric populations, scaling manufacturing, and progress on patch or bi-hormonal systems mentioned in filings

 

Kestra Medical Technologies (Nasdaq: KMTS): Wearable Defibrillator/Monitor

Date

Offering

Day 1 Performance

3/6/25

12.0M shares at $17 (upsized), raising ~$202–232M gross

Closed at $21.84 (+28%)

Why It Worked: Strong clinical logic for out-of-hospital sudden cardiac arrest protection, with clear reimbursement. The above-range pricing confirmed investor demand.

What’s Next: Partnerships in the post-acute setting, adherence data, and payor policy updates

 

CapsoVision (Nasdaq: CV): Capsule GI Endoscopy

Date

Offering

Day 1 Performance

7/2/25

5.5M shares at $5 (upsized share count), raising $27.5M gross

Opened at $5 with little movement

Why It Was Mixed: Small raise and earlier-stage commercialization. Execution now depends on commercial efficiency and advancing its pipeline, including a colon capsule with AI features.

What’s Next: Market adoption in GI, success of its Canon sensor collaboration, and durable growth in placements

 

Carlsmed (Nasdaq: CARL): Personalized Spine Implants (aprevo)

Date

Offering

Day 1 Performance

7/23/25

6.7M shares at $15, raising $100.5M gross

Opened at $15, closed at $14.5 (−3.3%)

Why It Was Mixed: Orthopedic implants are competitive and capital-intensive, and investor caution showed.

What’s Next: Evidence of surgeon adoption and long-term case economics compared to standard implants

 

Shoulder Innovations (NYSE: SI): Shoulder Arthroplasty (InSet)

Date

Offering

Day 1 Performance

7/31/25

5.0M shares at $15, raising $75M gross (below the $19–21 range)

Opened at $15.60, closed at $15.05

Why It Was Mixed: The deal attracted investors, but the valuation was tighter than hoped.

What’s Next: Capturing market share from larger ortho strategics and expanding clinical indications

 

HeartFlow (Nasdaq: HTFL) – AI-based Noninvasive FFR for CAD

Date

Offering

Day 1 Performance

8/8/25

16.67M shares at $19 (upsized), raising $316.7M gross

Opened at $28, intraday high of $31.50 (+47–66%)

Why It Worked: Strong proof points for AI applied to coronary artery disease, with robust growth and well-capitalized backers.

What’s Next: Continued adoption (132,000 patients in 2024), more economic data, and broader workflow integration.

Early Lessons from the 2025 IPOs

A few themes stand out across this year’s offerings so far:

  • Software-enabled and service-light models (like HeartFlow and Beta Bionics) performed better than hardware or implant businesses, which faced conservative pricing.
  • Cardiovascular and orthopedic categories are heavily represented, reflecting both the size of the addressable markets and the strength of clinical evidence requirements.
  • Valuation discipline remains real. Demand is there, but companies without clear operating leverage or payor visibility are being priced cautiously.

Broader Market Signals

Medtech isn’t alone in seeing more IPO activity. Across all sectors, there have been 138 U.S. IPOs year-to-date, with larger debuts averaging early returns of around +9%. Beta Bionics is among the standouts in that broader group.

Capital overall is flowing more freely than in 2024. Private and public markets have both seen increased activity, and more follow-on offerings are returning. Rates have stabilized enough that investors feel comfortable underwriting multi-year payoffs, and a backlog of companies from 2022–2024 is now ready to make the leap.

What Comes Next for Medtech IPOs

Is the IPO window officially “open”? For the right kind of company, the answer appears to be yes. Those with payor visibility, strong data moats, a clear total addressable market, and scalable unit economics are being rewarded.

Still, pricing discipline matters. The Figma debut shows what can happen when demand overwhelms supply, and medtech management teams will be mindful of that dynamic during their own roadshows.

2025 will not replicate the frenzy of 2021, but it doesn’t need to. A more balanced environment, with clear playbooks and investors willing to back sustainable growth, may be even healthier long term. We expect several more medtech IPOs to take advantage of this window before the year is out.

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