NovaShunt AG Raises $25 Million in a Series B Financing Co-Led by BioMedInvest AG, Entrepreneurs Fund and Capricorn Health-tech FundBy Novashunt Ag, PRNE
Tuesday, March 8, 2011
ZUG, Switzerland, March 9, 2011 - NovaShunt AG, a private Swiss medical device company with innovative
fluid management technologies, announced today that it has raised CHF 23.7
million (about $25 million) in a Series B preferred share financing round
co-led by BioMedInvest AG, Entrepreneurs Fund and Capricorn Health-tech Fund.
Existing investors, NeoMed and VI Partners, were also significant
participants in the new financing and NeoMed retains its role as the lead
investor and largest shareholder of NovaShunt.
NovaShunt's ALFApump System is a proprietary, implantable pump
system that continually removes excess abdominal fluid, known as ascites, in
patients suffering from liver cirrhosis, certain cancers and congestive heart
failure. Refractory ascites occurs when patients with excess ascites no
longer respond to medical therapy and it affects over 100,000 patients in
Europe and the US every year. The number of patients suffering from ascites
is growing due to the accelerating incidence of hepatitis and obesity-related
liver disease (NAFLD).
"This is a significant milestone for NovaShunt," said Noel
Johnson, CEO and co-founder of NovaShunt. "Fluid overload in ascites and
other indications is an area of significant unmet clinical need and
represents more than a $1 billion market opportunity for NovaShunt's
proprietary technology. Our clinical experience to date has demonstrated that
the ALFApump System is safe and highly effective. This financing enables
NovaShunt to embark on European commercialization and to conduct clinical
studies in the U.S."
"We believe NovaShunt's implantable pump system has the potential to
dramatically improve the treatment options for patients suffering from
refractory ascites," said Thomas Moller, partner at BioMedInvest. "The
ALFApump System can dramatically reduce the cost and burden of care
associated with managing refractory ascites while offering improved quality
of life for patients."
"We are pleased to be joined by this group of experienced investors and
look forward to working closely with them to make NovaShunt's highly
innovative ALFApump System available to patients who are in desperate need
for alternative treatment options. NovaShunt's core technology is robust and
adaptable, with broad potential applications in the management of medical
conditions where fluid overload is an issue, including pleural effusions,"
said Erik Amble, NovaShunt's Chairman and Managing Partner at NeoMed.
As part of the Series B financing, Thomas Moller (BioMedInvest), Els
Hubloux (Capricorn) and Maciek Drozdz (Entrepreneurs Fund) will join
NovaShunt's Board of Directors.
NovaShunt's ALFApump System consists of a subcutaneously
implanted battery-powered pump with a catheter placed in the abdominal cavity
and another catheter connected to the bladder. The ALFApump System
automatically and continually collects fluid as it forms in the abdominal
cavity and moves it to the bladder, where it is eliminated through normal
The Company is currently completing enrollment in the PIONEER
Study, a prospective, multi-center, open label study designed to evaluate the
safety and performance of the ALFApump System in obviating the need for
paracentesis, the standard therapy for patients with refractory ascites.
Paracentesis is a procedure in which a large bore needle is inserted into the
patient's abdomen, sometimes weekly or bi-weekly, to remove between 5â€10
liters of accumulated ascites. The cumulative cost of repeat paracentesis for
these patients often exceeds $25,000 each year.
NovaShunt is a privately owned Swiss medical device company
that is dedicated to improving the lives of patients through innovative
technologies to manage fluid within the body. NovaShunt is focused on areas
of unmet clinical need where its products can significantly improve clinical
outcomes, reduce healthcare costs and improve patients' quality of life.
BioMedPartners is an independent European venture capital firm providing
private equity and mezzanine financing to early- to mid-stage healthcare and
life-science companies. Currently, BioMedPartners manages three funds with
more than CHF 250 million in capital under management and a strong team of
experienced specialists and industry experts as well as an extensive
scientific and financial network.
About Entrepreneurs Fund
The Entrepreneurs Fund is the venture capital member of COFRA, a global,
family-controlled group of businesses. The Entrepreneurs Fund has EUR100
million under management, which it invests in early stage and growth
companies owning strong technology/IP, with a focus on Europe. Sectors of
interest include life sciences and clean technology sectors. The
Entrepreneurs Fund is an active investor working closely with outstanding
management teams in developing their businesses.
About Capricorn Venture Partners
Capricorn Venture Partners is a pan-European manager of venture capital
funds investing in early to mid-stage technology based companies in Europe.
Capricorn's dedicated investment teams are composed of experienced investment
managers with deep technology expertise and a broad industrial experience.
Capricorn is investing out of its Health-tech Fund which is Capricorn's
fourth consecutive venture capital fund.
Daniel Rose, +41-79-313-8149, Dan.Rose@NovaShunt.ch
Daniel Rose, +41-79-313-8149, Dan.Rose at NovaShunt.ch
Tags: March 9, Novashunt Ag, Switzerland, Zug