Investor survey: Jawbone, Practice Fusion most likely digital health companies to go public in 2015

May 19, 2015

11:05 am

Jawbone's UP2 device

Some 20 percent of investors said they expect Jawbone to go public this year, according to a Rock Health survey of 43 investors. Jawbone has raised an estimated $725 million, the seed fund reported.

Rock Health released the survey just a few weeks after activity tracker company Fitbit filed the initial paperwork that puts it on the path for an IPO. In the company's filing, Fitbit announced that since its founding in 2007, they sold more than 20.8 million devices as of the end of March 2015.

Rock Health also found that almost the same number of investors, 19 percent, said they expected Practice Fusion, which offers electronic health records and patient management software, to file for an IPO this year. While 15 percent said they expected Health Catalyst, a data storage company, to IPO in 2015 and 10 percent said they expected Proteus Digital Health, developer of a medication management and adherence system, to go public this year.

Less than 10 percent of investors said they expected the nine other companies in Rock Health's survey to IPO in 2015. Some of these companies included American Well (8 percent), ZocDoc (4 percent), 23andMe (3 percent), Doximity (3 percent), Sharecare (2 percent), and Welltok (2 percent).

Fitbit isn't the only digital health company to announce their intention to go public this year. At the end of April, Teladoc, a large and fast-growing video visits company based in Dallas, Texas, took the first step toward filing an initial public offering. Teladoc filed a confidential S-1 form with the SEC and expressed an intention to file for an IPO following the SEC’s review process. Teladoc has raised at least $96.6 million since it was founded in 2002.

Earlier this year, Rock Health reported that last year was a record-breaking one for digital health funding in multiple categories. Rock Health placed the total digital health funding for 2014 at just over $4 billion. The report had digital health accounting for 8 percent of all venture capital funding for the 12-month period between Q3 2013 and Q3 2014.

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