A Medical Device Daily
Celleration (Eden Prairie, Minnesota), developer of the patented MIST therapy system, an ultrasound device that promotes wound healing through cellular stimulation while removing bacteria from the wound, reported completing its Series D financing raising $30 million.
The company said it will use the proceeds to expand and accelerate the sales and marketing of its MIST system.
Celleration says that MIST Technology uses low-intensity ultrasonic sound waves to produce an "energized mist of sterile saline in a non-contact fashion.
The company's initial focus has been on the chronic diabetic foot ulcer market. It recently completed a prospective, randomized, double-blind, sham-controlled multi-center study in diabetic foot ulcers, which resulted, it said, in a statistically significant improvement in the rate of wound closure and time to wound closure.
Venture Investors co-led the round, with Heron Capital and Clarian Health Ventures. Other participants included existing investors AAVIN Equity Partners, Affinity Ventures, Baird Venture Partners, CID Equity Capital, New Science Ventures, Prism Opportunity Fund, Seneca Health Partners, Triathlon Medical Ventures, Tyco Sigma Limited and Upper Lake Growth Capital. New investors included Clarian Health Ventures, Heron Capital and HMA Capital. JMP Securities served as placement agent for the financing.
The company said that more than 15,000 patients have been treated with the MIST system at 700 sites across the U.S.
As a condition of the funding, George Arida of Venture Investors and Kevin Etzkorn of Heron Capital will join the Celleration board.
"We are delighted to lead this round of financing, which will provide the company with growth capital to fully address this huge market opportunity," said Arida, managing director of Venture Investors. "It is not often that a company introduces a new treatment modality that can fundamentally change expectations in terms of clinical outcomes, especially in wound care. Our goal is to reach more patients in more care settings and make a difference in their lives."
Celleration, privately held, was founded in 1999 to develop its therapeutic ultrasound platform.