Last year saw a resurgence of PIPEs, which offer companies a way to raise a large amount of capital relatively quickly and easily, Financier Worldwide reports. Last year, 1,055 PIPE transactions were completed, raising over $53 billion – the largest total since 2008, according to PrivateRaise.
Healthcare and life sciences companies accounted for $15.2billion across 254 PIPEs, while industrials – such as chemicals, metals, mining and paper companies – led the market by number of deals with 323, but raised much less in aggregate, with $2.8 billion.
PIPE deals are a faster, more bespoke source of financing which have proved popular in periods of economic turbulence. PIPEs also help SPACs close the funding gap in acquisitions. Read more.
