Neo Medical has announced the closing of a US$13.4 million (CHF 13.2 million) financing round. The funds will be used to finance the company’s global growth and expansion in targeted key markets, Neo Medical said in a press release.
Neo Medical has developed a universal surgical platform, including five instruments and fourteen implants only, covering most spine indications. This includes a proprietary controlled-fixation technology designed to enable a post-operative more anatomically neutral, balanced, and stable spine. The company’s solutions enable spine surgeons to limit stress overload on patients’ spines, thus potentially reducing risks of screw loosening, hardware failure, and eventually further reducing re-operation risks, while improving overall patient outcomes, the press release adds.
Neo Medical currently focuses its effort on five strategic markets: the USA, Germany, Spain, Switzerland, and France. The company received CE and US Food and Drug Administration (FDA) approvals for its pedicle screw system in September 2016 and September 2017 respectively, and for its cages in January 2020 and December 2019.
“The CHF 13.2 million financing round announced today is an important milestone for Neo Medical as we look at scaling sales and distribution up in our five strategic markets. Surgeons have validated our controlled-fixation value proposition to prevent stress overload on patients’ spines and tackle implant failures and loosening, while further improving patient outcomes. We look forward to bringing this value proposition to more hospitals and patients worldwide,” said Vincent Lefauconnier, CEO of Neo Medical.
The financing round is led by 4FO Ventures. Historical shareholders, including Credit Suisse Entrepreneur Capital Ltd. as well as new partners such as Investiere, participated in the capital increase.
Jean-Pierre Rosat, founder and general partner of 4FO Ventures, said: “We are very enthusiastic about this new investment. Neo Medical has the potential to change the way spinal surgery is performed. The combination of innovative technologies and a highly simplified and universal disposable set of tools is extremely powerful, and a real added value for patients and surgeons. In addition, the excellent team of Neo Medical has the skills to lead this company to success.”
Along with the financing round, Neo Medical has announced two appointments to its board, Michel Orsinger as member, and Oern Stuge as Chairman of Neo Medical Board of Directors. Orsinger led DePuy Synthes from 2012 to 2015, following the sale of Synthes to Johnson & Johnson. Stuge is chairman and CEO of Orsco Life Sciences AG.