Venture capital investments in medical technology companies have grown at a compound annual growth rate of 27% from $2.9 billion in 2015 to $9.8 billion in 2020 with an average deal count per year of approximately 850 over the last five years. Many sectors within the medical technology industry are fragmented and contain a large number of privately-held and sponsor-owned businesses that we believe could benefit from additional management expertise to accelerate revenue growth, expand margins, and improve capital allocation decision-making. It is estimated that there are approximately 4,100 private medical technology companies in the United States. In the U.S., the medical technology market is expected to grow from $159 billion in 2019 to $261 billion by 2027, representing a 6.4% compound annual growth rate. These expenditures are driven by the rising prevalence of chronic diseases, a growing and aging population, technological advancements and evolving care models. Global healthcare expenditures are expected to rise at an approximate compounded annual growth rate of 5% from 2019 to 2023, and represent an approximate 10% share of global gross domestic product through 2023. We believe that companies operating in the medical technology sector have characteristics which make them attractive investments, including their underlying market size and growth dynamics. In 2020, medical technology, diagnostic and life sciences IPOs were on average 99.5% higher from their initial offering price, demonstrating the positive market sentiment towards the medical technology sector and the potential benefits private businesses within the sector can realize in pursuing public ownership. Our acquisition strategy is to identify and complete our initial business combination with a medical technology company in the healthcare industry. We believe that our team’s expertise, experience and network in the medical technology sector provide us with a significant advantage in identifying attractive investments and consummating an initial business combination that will be well-received in the public markets. Our team’s past experiences provide a differentiated set of skills that other companies and SPACs may not possess. Our team has decades of experience identifying and understanding the key fundamental theses of our targeted businesses and how management teams can better execute on their stated strategies to deliver value. Given our team’s extensive work and business relationships within the medical technology sector, we have direct visibility into the growth prospects and developmental promise of differentiated medical technology companies. Our objective is to generate attractive returns for stockholders and enhance value through both operational improvements and new initiatives to expand the target business organically and/or by strategic acquisitions. If we are unable to complete our initial business combination within 24 months from the closing of this offering, we will redeem 100% of the public shares at a per share price, payable in cash, equal to the aggregate amount then on deposit in the trust account, including interest earned on the funds held in the trust account (which interest shall be net of taxes payable and up to $100,000 of interest to pay dissolution expenses), divided by the number of then outstanding public shares, subject to applicable law and certain conditions as further described herein. We will provide our public stockholders with the opportunity to redeem all or a portion of their shares of Class A common stock upon the completion of our initial business combination at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the trust account described below as of two business days prior to the consummation of our initial business combination, including interest earned on the funds held in the trust account (which interest shall be net of taxes payable), divided by the number of then outstanding shares of Class A common stock that were sold as part of the units in this offering, which we refer to collectively as our public shares, subject to the limitations and on the conditions described herein.
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