Economic recovery is showing some major signs in Montgomery County as 2021, thus far, has seen a record pace for initial public offerings (IPO), private investment and venture capital deals for County-based companies. More than $18 billion of investment has impacted 76 companies since the start of the year and 87 separate transactions have been made in the first three quarters of the year through Sept. 30.
In 2020, $4 billion was invested in Montgomery County companies. This year through September alone, that number has jumped 450 percent to $18 billion.
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 State and County economies through company expansion, hiring of additional employees and new innovative growth initiatives.
See the full list of investments in Montgomery County companies here.
“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.”
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 percent of adults over 25 holding a bachelor’s degree or higher. 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.
“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, president and CEO of the Montgomery County Economic Development Corporation. “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.”