CHESTERFIELD, Mo. & NETANIA, Israel--(BUSINESS WIRE)--NiTi™ Surgical Solutions, an innovative surgical device company, today announced the completion of a financing round, in which the company raised approximately $18.5 million. The round was led by Forbion Capital Partners, based in Naarden, The Netherlands, with additional participation from existing investors including: Evergreen Venture Partners, Israel Healthcare Ventures (IHCV), MBVC and Alice Lab, and SCP Vitalife. In conjunction with this closing, Avi Molcho, MD, venture partner at Forbion, will join NiTi’s Board of Directors.
Proceeds from this financing will be used to support the marketing and roll-out of the company’s ColonRing™ and to advance ongoing and new research and development of BioDynamix™ Anastomosis Technology programs. The ColonRing was recently launched in the US, and the device has been very well received by users due to its excellent wound healing capabilities. The ColonRing represents a revolutionary closure technology for surgeries such as colon cancer surgery and has been successfully applied in over 2,200 patients.
“This successful financing is a direct result of NiTi Surgical Solutions’ well-executed business strategy and growing market presence in anastomosis, with its proprietary BioDynamix Technology,” stated Hadar Ron, MD, managing director of IHCV and chairman of the Board of Directors for NiTi. “By successfully developing and commercializing much-needed, state-of-the-art medical devices to optimize surgical outcomes for patients, NiTi is emerging as a significant player in the surgical closure technology market.”
NiTi Surgical Solutions' shape memory surgical rings, clips, and appliers represent the next generation in internal tissue-closure devices. These advanced devices are designed for treatment of colorectal, gastric and upper gastrointestinal disease requiring surgical anastomosis. The company`s unique line of products utilizes nitinol-based elements to press together the ends of resected tissue, enabling natural reconnection and healing of the intestine after removing a section as part of a surgery, such as in colon cancer treatment.
“NiTi offers a compelling investment thesis for us with its unique BioDynamix Anastomosis Technology platform and strong clinical support from leading surgeons across the globe,” stated Dr. Molcho. “We truly believe that NiTi’s technology, starting with the recently launched ColonRing, offers surgeons a revolutionary approach to anastomosis that will permanently change the current surgical paradigm for the better.”
The company’s FDA-cleared, CE-marked ColonRing™ represents the first major advancement in colorectal surgery in more than 30 years and addresses the significant drawbacks of traditional staples.
“NiTi’s ability to garner additional financing from leading biotech investors underscores the strength and utility of our proprietary technology, and the promise and potential for our products to meet the critical needs of surgeons, physicians, and patients,” said Itay Itzhaky, chief executive officer of NiTi Surgical Solutions. “Our first marketed product, the novel ColonRing with BioDynamix Anastomosis Technology, is one of several innovative nitinol devices we expect to bring to market. This recent round of financing will help us broaden our sales and marketing presence, as well as further our research and development activities to support a variety of advanced surgical products in the coming months.”
About ColonRing™ with BioDynamix™ Anastomosis Technology
NiTi Surgical Solutions has leveraged the features of Nitinol in the ColonRing technology. In the ColonRing, the Nitinol leaf springs stretch to open the ring for placement in the bowel, and then gradually return to their original closed position, adapting to variations in tissue thickness and accommodating compressed tissue. The Nitinol leaf springs continuously apply constant force range of pressure around the full circumference of the anastomosis. As the compression progresses over several days, the tissue trapped within the ring becomes necrotic, while healthy tissue is generated along the ring’s outer perimeter.
In human trials and clinical practice, BioDynamix Anastomosis technology has shown the potential to provide durable anastomosis with encouraging results in the rate of complications, particularly in low cases. Colonoscopic examination at six months demonstrated an effective, seamless anastomosis with excellent wound healing. In animal trials, ColonRing resulted in a time zero anastomotic burst strength up to three times stronger than circular staplers. In addition, histologic examination of resected anastomoses showed complete reepithelialization of the mucosa and a uniform anastomosis showing full recovery to the natural multi-layer tissue structure.
About Forbion Capital Partners
Forbion is a leading Life Sciences Fund that invests in drug development companies and medical device companies in Europe and in the US/Canada. The Fund focuses their investment strategy on high medical needs where a substantial improvement over current treatments can be realized. Forbion has currently over EUR 300m under management and has built a strong financial track record since the late nineties. Forbion is an active, hands-on investor that supports its companies to achieve their corporate objectives by sharing its financial, clinical, regulatory and marketing experience. Forbion is currently investing from its Forbion Capital Fund II, a new fund that has realized a first close in November 2008. For more information please visit www.forbion.com.
About NiTi™ Surgical Solutions
NiTi Surgical Solutions is focused on the BioDynamix™ of natural healing, offering state-of-the-art medical devices to optimize surgical outcomes for patients and physicians. NiTi Surgical Solutions currently markets its novel ColonRing™ device - the next generation of closure technology for colorectal resection - providing surgeons with a potentially safer and more effective alternative to standard staple-dependent closure techniques. NiTi continues to expand its core competencies and innovative technology to a variety of advanced surgical products, techniques, and procedures. NiTi Surgical Solutions is a privately held, venture backed company with headquarters in Israel and the U.S. For more information, please visit www.nitisurgical.com.
Contact:
Pure Communications Inc. Ashlea Kosikowski, 910-547-7093 or Sheryl Seapy, 949-608-0841
