Rocky Hill, Conn., July 13, 2009 – Connecticut Innovations (CI), the state’s quasi-public authority responsible for technology investing and innovation development, today announced that it has made an investment of $750,000 in Soft Tissue Regeneration, Inc. (STR) through its Eli Whitney Fund. This investment is part of a $3.5 million Series A round also involving Philadelphia-based MentorTech Ventures II LP. STR is in the process of relocating its operations from Charlottesville, Virginia, to Connecticut.
STR is advancing a breakthrough technology to treat anterior cruciate ligament (ACL) injuries. The company’s patented and proprietary technology, licensed on an exclusive worldwide basis from Drexel University, solves many issues associated with autografts (tissue transplanted from one part of a patient’s body to another) and allografts (tissue transplanted from a cadaver).
“This successful round of financing will enable us to continue our development of the L-C Ligament™, conduct a large animal study and begin the development of clinical trials to bring this important technology to the clinic,” said Joseph W. Reilly, president, chief executive officer and founder of Soft Tissue Regeneration, Inc.
STR’s product, L-C Ligament™, is a biocompatible and degradable synthetic braided scaffold that is surgically attached to the femur and tibia bones when replacing the patient’s torn ACL. The scaffold stabilizes the knee and encourages the regeneration of ligament tissue – ultimately resulting in faster, improved healing. With an estimated 500,000 ACL reconstruction surgeries performed annually around the globe and an active, aging population, there is a strong and growing market for STR’s product. “Soft Tissue Regeneration is a solid addition to Connecticut’s growing bioscience community and to Connecticut Innovations’ diverse portfolio,” said Governor M. Jodi Rell. “It is exciting that the company is working to launch what could be one of the most significant new developments in orthopaedics in the past decade. We are delighted to support the continued growth of this groundbreaking company.”
Peter Longo, president and executive director of CI, said, “CI was impressed not only with STR’s technology, but also with the talented team of scientists and executives who are dedicated to the development and commercialization of L-C Ligament™ and other soft tissue products. Our investment will help the team study the safety and effectiveness of L-C Ligament™.”
This investment in STR represents CI’s eighteenth investment in early-stage Connecticut technology companies since July 2008.
Russell Tweeddale, CI managing director of investments, will represent CI on STR’s board of directors.
About Connecticut Innovations Inc.
Connecticut Innovations (CI) is a quasi-public organization dedicated to driving a vibrant, entrepreneurial, technology-based economy in Connecticut. CI stimulates high-tech growth by investing in: early-stage Connecticut technology companies; university/industry research collaborations; technology transfer; and, clean energy initiatives through the Connecticut Clean Energy Fund. CI also fosters collaboration among government, business, nonprofit and academic organizations to advance technology growth and promotes public policies consistent with CI’s mission. For more information on CI, please visit www.ctinnovations.com.
About Soft Tissue Regeneration
Soft Tissue Regeneration, Inc. (STR) is a privately held medical device company defining new technology for the soft tissue regeneration segment of the sports medicine market. The company has developed and tested a breakthrough technology for regeneration of the anterior cruciate ligament (ACL) of the knee. The company was founded in 2008. For more information, please go to www.softtissueregeneration.com
