Molecular Tests in a Point-of-Care Platform Raise $650M in Investments
Investors are demonstrating confidence in companies that combine molecular testing with results at the point of care, according to Kalorama Information. The healthcare market research publisher said that POC (point of care) diagnostics and molecular diagnostics are two of the fastest-growing segments of the overall IVD market, and investment firms have put hundreds of millions into companies over a period of five years. The finding was made in Kalorama’s new report, The Market and Potential for Molecular Point of Care Diagnostics.
“You have the possibility know of tests that meet the needs of true near-patient testing,” said Bruce Carlson, Publisher of Kalorama Information. “Advances in molecular diagnostics, microfluidics and other technologies, are making it possible.”
In the past five years (2009-2013), molecular diagnostic near patient or POC companies have raised over $650 million in investments, financings, and (to some extent) public offerings. This total does not include grants and other sources of support that are available, especially from the programs that are trying to promote development of tests for use in resource-limited countries. The reason, according to Kalorama is technological change. Platforms for molecular DX-POC testing need to be small, portable, potentially hand-held, easy-to-use, and inexpensive. They need to be fully automated from sample to answer, so that they can be used by individuals who are not highly trained in molecular diagnostics or in laboratory testing in general.
“This total does not include monies spent by established diagnostic companies that are making acquisitions to move into this field,” said Carlson. “For example, bioMérieux recently acquired BioFire.”
Kalorama suggests the acquisition of BioFire by the established IVD player (http://www.biomerieux.com/en/biomerieux-finalizes-acquisition-us-company-biofire-specialized-molecular-biology) was a signal of importance of these technologies. There are over 75 companies profiled in Kalorama’s recent report on this topic doing some type of molecular POC. Many companies are developing molecular diagnostic platforms and assays that are designed to for near-patient or POC testing, and the earliest of these systems are starting to reach the market. The initial market focus for most of these companies is on infectious disease testing, where rapid test results generate important actionable information that physicians can use to make treatment decisions.
The report, The Market and Potential for Molecular Point of Care Diagnostics, discuses important platforms and the status of products, reviews deals made in the market and profiles companies in this market. It also provides insight into the potential market for these products. Information for this report can be found at: http://www.kaloramainformation.com/Potential-Molecular-Point-8028587/.