Investment Outlook: Susanna Francke Rodau, SMA

What do you predict will be the dominant market trend within life sciences this year?

“From a content perspective, we continue to see many interesting innovations related to the increase in healthcare data, such as quantum computing and sensing as well as other AI-driven improvements to drive clinical implementation. Additionally, we see growing interest in technologies that support value-based care – solutions that not only improve patient results but also drive cost-efficiency, which is increasingly critical as healthcare systems face mounting pressure on resources.”

How would you describe the current venture funding landscape in the Nordics?

“There’s a well-known funding gap in the Nordics for health companies transitioning from proof-of-concept to early commercialization, due to the complexity of the area. Many promising ventures are rich in science but underserved in terms of commercial experience, access to industry networks and capital. This is where specialized investors can make a real difference, not just by investing funds but by providing strategic guidance and opening doors.”

The pandemic underscored the value of collaboration across the innovation ecosystem – scientists, governments, investors, and industry working in tandem.

From your perspective, how has the life science sector developed since the COVID-19 pandemic?

“The pandemic underscored the value of collaboration across the innovation ecosystem – scientists, governments, investors, and industry working in tandem. That momentum has continued, but the financial recovery has been slower than anticipated. Add to that geopolitical volatility which has created a challenging and unpredictable environment. Still, we see tremendous potential in the Nordic region, particularly for companies that can navigate this complexity.”

Due to current global events, for example the new US administration, have you noticed a shift towards strategic near-shoring and a greater focus on the European (or Chinese) life science ecosystem?

“While our portfolio is globally oriented, we see growing interest in strengthening local and regional ecosystems. The Nordics are in a great position to lead in this shift, with world-class research institutions and a collaborative culture. With that said, life science is inherently global, and macro events – from US elections to China policy – have a ripple effect on strategy and supply chains. This is reinforcing the need for long-term thinking and strong international networks.”

A smart dual-market approach is often the best way to build resilience and long-term value.

How does the Nordic/European market compare to the US?

“The US remains a key market for scale, investment, and regulatory precedent. In the last few years, the US has been viewed as the preferred launch market, due to the sometimes complex regulatory environment and slow implementation culture in Europe. However, with the latest political turmoil in the US, this may change. A smart dual-market approach is often the best way to build resilience and long-term value.”

What do you predict when it comes to M&A activity in the Nordic life science industry this year?

“We’re cautiously optimistic. While M&A activity has been muted in recent years, we believe that’s changing. Strong science, combined with clearer regulatory pathways and maturing business models, is making Nordic companies increasingly attractive to strategic buyers. We expect momentum to build into 2026 and beyond.”

Show us how your innovation fits into the healthcare or research landscape – and why now is the time to act. That clarity can be the difference between interest and investment.

What advice do you have for small and mid-sized Nordic life science companies looking to raise capital? 

“Stay laser-focused on the unmet medical needs you are solving. It’s easy to become enamored with the science, but we also want to understand the real-world need and the path to impact. Show us how your innovation fits into the healthcare or research landscape – and why now is the time to act. That clarity can be the difference between interest and investment.”

Anything you would like to add when it comes to predicting the life science financial landscape in 2025?

“We remain optimistic about what’s ahead, despite the global political turmoil in the last few months. The Nordic region continues to generate world-class innovation. What’s needed now is more knowledge-based capital – investors who bring more than just funding.”