A Medical Device Daily
Rapid Micro Biosystems (Bedford, Massachusetts) a company developing products for faster detection of microbial contamination, reported that it has successfully raised $18.6 million in venture financing.
Investors in the Series A round include Kleiner Perkins Caufield & Byers (Menlo Park, California) TVM Capital (Munich, Germany) Quaker BioVentures (Philadelphia), and VIMAC Milestone Medica Fund (VMM; Boston). Rapid Micro Biosystems will use the financing to expand its market presence and current product portfolio.
The Growth Direct System, the lead product of Rapid Micro Biosystems, greatly reduces microbial contamination testing time by using proprietary digital imaging technology to replace detection by the human eye. The system delivers high throughput analysis with its proprietary consumable Growth Cassettes and automates otherwise error-prone manual steps.
In other financing news:
• Bellus Health (Quebec, Canada) reported that it is filing a preliminary short form prospectus in each of the provinces of Canada for a C$12,080,018 million rights offering to holders of its common shares.
Under the terms of the rights offering, one right will be issued for each common share outstanding as of a record date which is yet to be determined. Holders of common shares of Bellus Health resident in Canada will be entitled to exercise rights to subscribe for common shares of Bellus Health. Each 0.80 of a right will entitle eligible shareholders to purchase one common share of Bellus Health at $0.185.
• CCS Medical, (Clearwater, Florida) a direct-to-consumer provider of medical supplies, said that it has reached an agreement with certain holders of its first lien loan to significantly reduce the company's debt and improve its capital structure.
To facilitate this financial restructuring, CCS Medical elected to file petitions for relief under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware.
The filing was made with the support of holders of the majority of the company's obligations under the first lien loan for the proposed terms of a prearranged plan of reorganization. As a result, the company expects that it will be able to complete its restructuring process on an accelerated basis.
• Lifeline Biotechnologies (Reno, Nevada) said that its First Warning Systems subsidiary completed a Series A private placement of $125,000.
Jim Holmes, Lifeline's CEO, said that "Lifeline's subsidiary, First Warning Systems has completed a private placement of promissory notes in the amount of $125,000. The promissory notes, due in mid-2010, are convertible into common stock of First Warning Systems. This initial funding has provided us with important resources needed to move forward on our expected FDA filings. While this funding was essential, we are preparing for the next round, a Series B private placement of common stock for up to $1.5 million. This amount should see us through the FDA process and clearance. With clearance by the FDA, we would expect to be ready for the process of market introduction of the First Warning System."