IPO, Private Investment and Venture Capital Funding Tops $18 Billion in More than 76 Companies Across Life Sciences, Health Tech, Media and Quantum Industries
Per MCEDC:
Thus far in 2021, a record pace for initial public offerings (IPO), private investment and venture capital deals has been set in Montgomery County. Over $18 billion of investment across 76 companies and 87 separate transactions have been made in the first three quarters of the year from January 1 through September 30. The companies receiving funding span major industries from life sciences and health tech to quantum and media.
Private funding alone surpassed $16 billion, led by global media innovator ZeniMax’s acquisition by Microsoft and Viela Bio’s acquisition by Horizon Therapeutics. In public offerings, more than $830 million was raised, led by life science company MaxCyte and Xometry, a groundbreaker in AI-enabled manufacturing. Venture capital funding also hit a record high of more than $970 million, headed by life sciences companies Arcellx and Sirnaomics and health tech Aledade.
Announced in celebration of Maryland Economic Development Week, the Montgomery County investments showcase the strength across local industry sectors. This success has a significant ripple effect on the state and county economies through company expansion, hiring of additional employees and new innovative growth initiatives. In 2020, $4 billion was invested in Montgomery County companies; this year through September alone, that number has jumped 450% to $18 billion.
See the top deals in each category 2021 Q1-Q3 in Montgomery County:
See the full list of investments in Montgomery County companies here.
“Xometry is proud to be an industry leader in manufacturing on demand and proud to call Montgomery County our home,” said Randy Altschuler, CEO and co-founder of Xometry. “We will continue to invest in the technology and talent we need to realize our vision of democratizing manufacturing.”
“With this new investment, Arcellx is poised to elevate the field of cell therapy by advancing our novel technology to benefit patients and their care teams,” said Rami Elghandour, Chairman and CEO of Arcellx. “We appreciate the support of our new and existing investors and look forward to expanding our corporate presence in Gaithersburg and continuing to recruit a diverse team to help accelerate our mission and deliver on the promise of our unique technology.”
“Our latest funding round demonstrates the belief that value-based care led by independent primary care, embracing risk, is the right path forward for American health care. The new capital will support our continued growth as we work with all kinds of payers to help more primary care physicians deliver better health outcomes for patients,” said Farzad Mostashari, M.D., CEO and co-founder of Aledade. “By being headquartered in Bethesda, we can be part of the conversation with legislators, regulators and policymakers to advocate on behalf of independent primary care providers, and our location enables us to source incredible talent from the thriving DC metro area community.”
“The blistering pace of capital investments in Montgomery County companies would be significant at any time but is especially remarkable during a pandemic and a period of great global economic uncertainty,” said Benjamin H. Wu, MCEDC President and CEO. “The recent funding surge is a testament to our local companies and investors recognizing the abundance of assets and paths to success here. This announcement is another positive indicator that our innovation-led economy is resilient and heading towards a full recovery.”
The climate in Montgomery County is highly conducive to company growth in life sciences, tech and other leading industries. The assets that draw companies and investment to Montgomery County, ‘The Immunology Capital Next to the Nation’s Capital,’ include a top educated workforce with 59% of adults over 25 holding a bachelor’s degree or higher, while the state is top ranked in the concentration of STEM jobs. Home to 18 federal agency headquarters including NIH, FDA and NIST, the County has been working to enhance the business climate with initiatives like the new Speed-to-Market, which improves efficiencies in the planning and permitting phases.
MCEDC to Administer New MoCo Economic Development Grant Program for Non-Profits
State-Funded Grants Will Aid Local Nonprofits Supporting Economic Recovery
From Think MoCo:
To support a post-pandemic recovery and further strengthen the economic development activities of the largest local nonprofit network in Maryland, the Montgomery County Economic Development Corporation (MCEDC) will administer a new state-funded $3.4 million economic development grant program for qualifying local nonprofits. Applications will open on July 6, 2021 and close July 16, 2021.
The MoCo Economic Development Grant Program for Nonprofits will provide competitively selected grants ranging from $10,000 to $20,000. The grant is for Montgomery County nonprofits with initiatives that align with one (or more) of the four identified priorities: (1) Minority Entrepreneurship, (2) STEM Education, (3) Research and Innovation Development, and (4) Small-Scale Manufacturing. Eligible nonprofits should have annual revenues of no more than $2 million and no less than $50,000 for the most recent fiscal year. Eligible initiatives must have started no earlier than March 2020, and nonprofits have until the end of 2021 to utilize the funds.
In addition, the program will award two selected local nonprofits with enhanced funding. One $100,000 grant and one $50,000 grant will be awarded for programs that best demonstrate a substantive impact on the Montgomery County economy in one or more of the four identified priorities. These two nonprofits will be chosen from the general application pool; a separate application is not required.
The Maryland General Assembly enacted the bipartisan RELIEF Act of 2021 this past session and the Governor signed the bill into law. Among its provisions, the Department of Housing and Community Development (DHCD) received $20 million in Maryland Recovery Now Funds. To support the work of local nonprofits playing a role in the state’s economic recovery, DHCD provided MCEDC with $3.4 million for the MoCo Economic Development Grant Program for Nonprofits.
Montgomery County is home to almost 7,000 nonprofits. They serve a wide variety of populations and purposes, including but not limited to health, education, the social safety net, the arts, the environment, economic development and community building.
“With limited funds and so many worthy nonprofits, this grant program is targeted to local nonprofits making an impact in critical economic development areas like minority entrepreneurship and STEM education,” said Benjamin H. Wu, President and CEO of MCEDC. “As we move optimistically towards a post-pandemic world, there is no greater priority than economic recovery. These nonprofits are helping to grow our economy, fuel innovation and support entrepreneurship, and we want to encourage continuation of this important economic development activity. We see these grants as not only an investment in the work of the selected nonprofits, but also an investment in Montgomery County’s future.”
The MoCo Economic Development Grant Program for Nonprofits applications will be accepted starting at 10 a.m., Tuesday, July 6. All applications must be submitted to MCEDC by 5 p.m., Friday, July 16. The funds will be distributed to all selected nonprofits by September 1 and the selected nonprofits must make use of the funds no later than December 31.
More information on eligibility criteria, funding amounts, grant exclusions and additional information can be found on the MCEDC website, with FAQs available in English and Spanish. Additional questions can be sent to [email protected].
