A Medical Device Daily
Baird Venture Partners (Milwaukee) reported that it has served as a co-leader in a $20.5 million fundraising round for Interlace Medical (Framingham, Massachusetts).
Proceeds from the Series C financing will be used to begin commercialization of the MyoSure system, a minimally invasive treatment to remove intrauterine fibroids and polyps, Baird and Interlace said. Proceeds also will also support clinical assessment of the system's utility in an office-based environment.
Baird Venture Partners and HLM Venture Partners led the round with Hambrecht & Quist Capital Management (both Boston) and Aperture Venture Partners (New York). Existing investors New Leaf Venture Partners (Menlo Park, California) and Spray Venture Partners (Newton, Massachusetts) also participated.
"The women's health sector has long been an underserved market in dire need of better medical solutions as an alternative to traditional surgeries and drug therapies," said Michael Liang, a principal at Baird Venture Partners. "Interlace has focused on a particular sector where existing treatment options are sub-optimal, and we believe Interlace has developed a unique and proprietary system that will be well received by gynecological surgeons."
In other financings:
• MedClean Technologies (Bethel, Connecticut) reported that it has extended its previously disclosed private offer to exchange all of the company's existing common stock purchase warrants with initial exercise dates between July 11, 2008, and Aug. 29, 2008 for newly issued warrants, with a new lower exercise price, exercisable for a lesser number shares of our common stock, par value $0.0001 per share, and without a "cashless exercise" right.
The offer to exchange previously scheduled to expire at 5 p.m., EDT, on June 16 will now expire at 5 p.m. on June 30, unless extended by the company.
Other than the extended expiration date and a new exercise price determined as of the extended expiration date, the terms of the offer to exchange have not changed.
• CorVel (Irvine, California) reported that pursuant to board of directors approval, the company entered into a pre-arranged stock trading plan on June 12 to repurchase shares of its common stock through a brokerage agreement.
The company may purchase up to 250,000 shares of its common stock on the open market from time to time over a period of two months ending in late-August at prevailing prices, subject to market conditions and other factors.
These shares are included in the 13,150,000 shares previously authorized by the board to be repurchased. During the fiscal year ended March 31, the company repurchased 995,000 shares of its common stock and has repurchased 12,683,000 shares since the inception of the repurchase plan through March 31. As of March 31, the company had 12,917,000 shares outstanding, net of shares repurchased.
• Tenet Healthcare (Dallas) reported the successful completion of its previously reported offering of $925 million aggregate principal amount of 8?% senior secured notes due 2019. Tenet intends to use the net proceeds from the offering of the notes to purchase its 9?% senior notes due 2014 in a tender offer. The notes were offered in a private placement.
• GE Capital Healthcare Financial Services (Bethesda, Maryland) said it provided a $75 million senior credit facility for Arizant (Eden Prairie, Minnesota) The loan will be used to refinance Arizant's existing indebtedness andfor general corporate purposes. GE Capital Markets served as joint lead arranger and sole bookrunner.
"GE Capital's Healthcare Financial Services business worked closely with us to execute this transaction before our existing cash flow facilities reached their maturity," said Marie Humbert, senior VP of finance for Arizant . "Especially in this uncertain credit market, we value having a lender who was able to make a commitment and deliver the capital we required."
• Certify Data Systems (San Jose, California) a provider of healthcare information exchange solutions for hospitals and physicians' offices, said that it has closed a round of Series B funding led by Ziegler HealthVest Partners LP. Ziegler, a venture capital fund that invests in healthcare services, healthcare IT and wellness, made a Series A investment in Certify in August 2008.
Certify offers an innovative clinical information exchange solution for hospitals and physicians' offices that allows disparate systems to securely and seamlessly exchange clinical data, such as lab reports, discharge summaries and other important patient data. Certify's enterprise-class hospital Gateway and physician HealthDock appliance work in concert as a completely integrated health information network. The Certify solution securely processes all forms of data – everything from HL7 and XML to PDFs, faxes and emails – and delivers this information in real time to the hospital's and physicians' information systems, even if those systems are otherwise incompatible.
In recent months, Certify has added four integrated delivery networks to the growing list of healthcare systems that employ its solution and strengthened its management team with the appointment of healthcare industry veteran Jeffrey Rideout, MD, as chief strategy officer.