A Medical Device Daily
NanoHorizons (State College, Pennsylvania) reported that it has raised about $6.7 million in a second round of funding from Penn Venture Partners, Life Sciences Greenhouse of Central Pennsylvania and a number of private investors.
Half of the investments have been funded, with the remainder to be funded, subject to attaining certain milestones, within one year.
NanoHorizons, a private company, develops advanced nanoparticles that are designed to add permanent, cost-effective and environmentally friendly antimicrobial and performance-enhancing characteristics to consumer, commercial and industrial products.
The company said that the funding will be used to solidify and expand its business in the medical and textile markets, where the demand for proven, certified antimicrobial solutions is rapidly increasing.
The company also reported the appointment of David Woodle as CEO/chairman. Prior to joining NanoHorizons, Woodle was CEO/chairman of C-COR (also State College), a provider of communications equipment and management systems to the cable industry.
"With this latest round of funding, NanoHorizons is in a solid position to grow and become a leading antimicrobial brand provider," said Woodle.
In addition, Daniel Hayes, one of the founders of NanoHorizons and an inventor of its technology, was named president/COO, and a member of the board of the company.
"We are enthusiastic about the leadership and experience that Dave Woodle brings to NanoHorizons," Hayes said. "His success in developing businesses through astute strategic planning, strong customer relationships, and effective internal and external communications will accelerate our growth and help us make NanoHorizons' SmartSilver the market's antimicrobial brand of choice."
The company's nanoscale silver antimicrobial additives, marketed globally to customers in the medical, textile and apparel industries under the SmartSilver brand, offer bacterial control in a variety of products, including natural and synthetic fibers and fabrics.
Privately held AxoGen (Alachua, Florida) reported that Oxford Finance and ATEL Ventures have provided a $7.5 million senior secured loan to the company.
AxoGen develops peripheral nerve repair technology. Its Avance Nerve Graft is a biological solution used by surgeons for the repair and regeneration of peripheral nerves.
"Oxford's and ATEL's support will allow us to continue our focused efforts on the Avance Nerve Graft, as well as support a rich pipeline of new products furthering AxoGen's commitment to improve the standard of care for patients with peripheral nerve injuries," said Jamie Grooms, AxoGen co-founder and CEO.
In other financing news:
• PhysioSonics (Seattle), a developer of noninvasive neurologic products, reported the first close of its Series A financing with an investment from Johnson & Johnson Development Corp. It said this funding brings the total Series A raised to more than $4 million.
The company said it will use these funds for commercialization of its first product.
Additionally, PhysioSonics said it partnered with Verasonics (Redmond, Washington),a developer of ultrasound software, just prior to this financing. Common shares in PhysioSonics were granted to Verasonics to create a larger technology and intellectual property base from which to commercialize noninvasive neurologic products.
It said the partnership was formed for the development and commercialization of new products utilizing a combination of both companies' respective technologies and intellectual property resources.
• 20/20 HealthCare Partners (Auburndale, Massachusetts) reported that its portfolio company, Corindus (also Auburndale), closed a "B" round investment taken solely by a New York-based hedge fund/private equity fund specializing in the healthcare industry.
Corindus will use the funding, amount undisclosed, to enhance its management structure, complete product development and obtain regulatory approvals in the U.S. and Europe.
The initial funding round led by 20/20 HealthCare Partners in September 2005 enabled Corindus to progress from an early stage company through development of a sophisticated, fully functional robotic catheterization system for the CathLab.
20/20 HealthCare Partners provides equity financing for what it terms "promising growth businesses" as well as for buyouts or recapitalizations of established companies specializing in the medical technology industry.
Corindus designs patented robotic systems developed to support the treatment of coronary artery and peripheral vascular disease.
• IsoRay (Richland, Washington), a medical isotope company focused on the treatment of prostate cancer and other malignant disease through use of its radioisotope technology, reported that its board has authorized the repurchase of up to 1 million shares of the company's common stock.
Dwight Babcock, interim CEO, said, "One of the best uses of the company's cash is to repurchase some of its shares of common stock to increase shareholder value at a time when we believe the shares are currently undervalued in the market. We believe that our refocused business strategy, coupled with our recent cost reductions, will help to improve our overall performance in the coming months."
IsoRay, through its subsidiary, IsoRay Medical, is the sole producer of the Proxcelan Cesium-131 brachytherapy seed used to treat prostate and other cancers.