Thought leadership

Pharma and Healthcare Dealtracker: Q1 2024

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The latest edition discusses the recent performance of the Indian healthcare and pharma industry. It notes a downturn in Q1 2024, highlighting challenges and shifts in investor interest across various sub-segments. However, despite short-term setbacks, the industry's long-term prospects remain promising, supported by initiatives in healthcare and strong domestic fundamentals as key drivers for future growth.

Key insights from the Pharma and Healthcare Dealtracker:

Downturn in deals: Q1 2024 marked a period of cautious optimism. While the Indian Healthcare and Pharma sector experienced a significant decline in Q4 2023, the trend continued into Q1 2024, with 47 deals totaling USD 409 million, reflecting a decrease of 82% in value and a 15% in volume compared to Q4 2023. When comparing this trend to the same period last year, in Q1 2023, we saw 39 deals valued at over USD 1.25 billion. Although there was a 12% increase in volume, the value dropped by 67%, primarily due to a few large transactions in Q1 2023.

Investing in preventive care: The announcements in the Interim Budget 2024 also hold promising developments for healthcare, with a focus on preventive health and women's health through various initiatives, including vaccination. There have been a few PE deals in the health tech and wellness segments indicating potential growth opportunities in preventive care, including the vaccines segment, supported by the government's Atmanirbhar initiatives.