Article
In medtech, M&A isn’t optional. It’s a must. Investors reward revenue growth more than productivity gains, making acquisitions an effective way to increase valuation. The real competitive edge, then, lies not in doing M&A, but in doing it well.
That doesn’t simply mean doing bigger deals. In fact, in medtech, large deals don’t guarantee success. Our decade-plus analysis of medtech transactions reveals a weak link between deal size and growth. And contrary to most industries, big deals are rarely a dependable source of stability for medtech companies.
Why? Large assets are scarce, and in medtech, high-stakes bets carry outsized risk. A poorly timed or mismanaged large deal can create debt overhang and stall both organic and inorganic growth for years.
What sets leaders apart is their disciplined targeting, integration, and execution. They know how to find value, capture it quickly, and repeat the process. The greatest risk is overreaching without a well-established capability. Entering large, complex deals without a strong M&A foundation can destroy value rather than create it.
Published in August 2025