Silicon Valley Bank’s annual healthcare M&A report, Trends in Healthcare Investments and Exits, examines the merger and acquisition and IPO activity of private, venture-backed biopharma and medical device companies.

Among the findings:

Healthcare IPOs triple in 2013, leading to record potential IPO/big exit returns of $12.5 billion. Venture fundraising and investment stabilize to drive innovation Large biopharma companies are essentially outsourcing early-stage R&D by investing heavily in young venture-backed companies. Biopharma big exit M&A activity reaches record valuations