At Citrines Group, we believe that an informed perspective is the foundation of smart decision-making and sustainable growth. Our Insights page features original research, expert commentary, and strategic analysis on the trends shaping health tech, fintech, and defense tech—as well as the broader private equity landscape.
The digital health market has reached an inflection point. Valued at $240.85 billion in 2023, the sector is projected to reach $1.635 trillion by 2033, representing a compound annual growth rate of 21.11%. This exponential growth trajectory presents unprecedented opportunities for private equity firms with the expertise to identify and accelerate the most promising innovations.
At Citrines Group, we recognize that this transformation extends far beyond telehealth adoption. The convergence of artificial intelligence, precision medicine, and wearable technology is creating entirely new categories of healthcare delivery. Companies leveraging AI-driven diagnostics are improving accuracy and efficiency in disease detection, while precision medicine platforms are delivering highly personalized treatments by targeting specific genetic, environmental, and lifestyle factors.
The Internet of Medical Things (IoMT) market alone is projected to grow from $79.64 billion in 2024 to $97.73 billion in 2025 at a compound annual growth rate (CAGR) of 22.7%. This represents more than technological advancement—it signals a fundamental shift toward continuous, data-driven healthcare that extends far beyond traditional clinical settings.
Our investment approach focuses on companies that not only participate in this growth but also define it. We seek out platforms that combine scalable technology with proven clinical outcomes, positioning them to capture disproportionate value as the healthcare ecosystem continues its digital transformation.
The global fintech market reached $218.8 billion in 2024 and is projected to reach $828.4 billion by 2033, exhibiting a CAGR of 15.82%. However, beneath these impressive growth figures lies a more nuanced investment landscape that rewards strategic thinking over momentum investing.
While 2024 saw fintech investment decline to a seven-year low of $95.6 billion across 4,639 transactions, the fourth quarter demonstrated clear signs of recovery, with total investment rising from $18 billion in Q3 to $25.9 billion in Q4. This volatility reflects a market in transition—moving from the speculative exuberance of previous years toward more disciplined, fundamentals-driven investing.
The most compelling opportunities lie in B2B-focused fintech companies, particularly in payments and regulatory technology. AI-driven regtech solutions are gaining significant traction, especially in regions like EMEA, where regulatory complexity continues to increase. Meanwhile, the rise of embedded finance and the continued growth of pay-by-bank solutions are creating new revenue streams for companies that can execute at scale.
At Citrines Group, we focus on fintech companies that have moved beyond proof-of-concept to demonstrate sustainable unit economics and clear paths to profitability. Our approach emphasizes operational excellence and strategic partnerships that can accelerate market penetration while maintaining disciplined growth.
The global defense market reached $573.5 billion in 2023 and is expected to grow to $975.4 billion by 2033, driven by increasing military modernization programs and technological advancements. More significantly, venture capital funding to defense tech startups hit $3 billion in 2024 across 102 deals—an 11% increase from $2.7 billion in 2023.
This growth reflects a fundamental shift in how defense innovation occurs. Traditional defense contractors are increasingly partnering with agile technology companies to develop solutions that can adapt to rapidly evolving threat landscapes. The focus has shifted toward AI integration, autonomous weapon systems, cybersecurity, and dual-use technologies that serve both military and commercial markets.
Private equity is uniquely positioned to capitalize on this transformation. The sector’s fragmented supply chain presents numerous opportunities for consolidation, while the Department of Defence’s push for private capital involvement creates new pathways for growth. Recent transactions, including Triumph Group’s $3 billion sale to Warburg Pincus and Berkshire Partners, demonstrate the scale of opportunity available to sophisticated investors.
Our investment thesis centers on companies developing scalable technologies with clear dual-use applications. We prioritize platforms that can navigate complex regulatory environments while delivering measurable improvements in cost-per-effect—the ultimate metric for defense technology success.
The private equity landscape in 2025 is characterized by cautious optimism and strategic repositioning. Following a challenging 2023 marked by declining transaction volumes, market participants anticipate a significant increase in M&A activity, particularly in the mid-market segment.
Over half (56%) of private equity professionals expect deal-making conditions to improve in 2025, with exits increasing as firms focus on realizing returns for investors. This optimism is supported by stabilizing interest rates and recovering capital markets, which have already led to an increase in IPOs from 158 in 2023 to 211 in 2024.
The mid-market segment—comprising enterprises valued between €100 million and € 500 million—presents particularly attractive opportunities. Approximately 250,000 small and medium-sized enterprises will require succession arrangements between now and 2026, creating a substantial pipeline of potential investments. This demographic shift, combined with relatively moderate valuations, positions mid-market private equity for sustained growth.
Technology remains a dominant theme, with AI and data analytics driving operational improvements across portfolio companies. The continued integration of ESG considerations has become deeply embedded within investment processes as firms recognize the long-term strategic and financial advantages of sustainable investing.
One of the most significant trends reshaping private equity in 2025 is the increasing convergence of industries. Traditional sector boundaries are blurring as artificial intelligence, digital infrastructure, and data analytics create new opportunities that span multiple industries.
This convergence is particularly evident in our core sectors. Healthcare technology increasingly incorporates fintech solutions for payment processing and insurance management. Defense technologies find commercial applications in cybersecurity and autonomous systems. Financial services platforms expand into healthcare payments and regulatory compliance solutions.
The implications for private equity are profound. Investment opportunities increasingly require cross-sector expertise and the ability to identify synergies between traditionally separate industries. Companies that can successfully navigate this convergence—leveraging technologies and business models from adjacent sectors—are positioned to capture disproportionate value.
At Citrines Group, our sector-focused approach enables us to identify these convergence opportunities early. Our deep expertise across health tech, fintech, and defense tech positions us to support companies that can capitalize on the blurring boundaries between industries.
There are risks associated with investing in securities. Investing in stocks, bonds, exchange traded funds, mutual funds, and money market funds involve risk of loss. Loss of principal is possible. Some high risk investments may use leverage, which will accentuate gains & losses. Foreign investing involves special risks, including a greater volatility and political, economic and currency risks and differences in accounting methods. A security’s or a firm’s past investment performance is not a guarantee or predictor of future investment performance.
We use cookies to improve your experience on our site. By using our site, you consent to cookies.