Life Sciences Funding in View: 2025 Outlook

Initial Public Offering Activity

U.S. Quarterly IPO Activity

› U.S. IPO activity in 2024 fell short of expectations, as deal activity fell to $4.4 billion (-11% YOY). Thirty companies went public at an average offering size of $180 million (-34% YOY). › One of the largest offerings of the year came from CG Oncology (NAS: CGON), which launched at $380 million — significantly exceeding initial expectations. Notably, one-third of 2024 IPOs were by oncology-focused companies, showing significant momentum in this space. › Life sciences IPOs often face external challenges that affect market capitalization, including negative investor sentiment, economic fluctuations and general investment market volatility. In 2024, heightened volatility led to pricing declines for most newly public companies, underscoring the importance of resilience for long-term success. CRE VIEW : Subdued IPO activity affects market activity, as companies carefully manage their available capital. While potential improvements in stock market pricing could drive some new leasing activity in 2025, tight budgets are expected to keep this growth significantly tempered.

$7

$6.0

$6

$5.0

$4.7

$5

$4.2

$3.9

$3.8

$4

$3

$2.4

$Billions

$2

$1.6

$1.5

$1.3

$1.2

$1.1

$0.9

$0.9

$0.8

$1

$0.6

$0.4

$0.3

$0.3

$0.0

$0

2021 Q1

2021 Q2

2022 Q1

2021 Q3

2023 Q1

2021 Q4

2024 Q1

2020 Q1

2022 Q2

2022 Q3

2023 Q2

2023 Q3

2022 Q4

2024 Q2

2023 Q4

2024 Q3

2020 Q2

2020 Q3

2024 Q4

2020 Q4

Source: PitchBook Data, Inc.; *Data has not been reviewed by PitchBook analysts

10 / CUSHMAN & WAKEFIELD

LIFE SCIENCES JANUARY 2025 LIFE SCIENCES JANUARY 2025