Medical-devices firm snares $15 million in financing
Summary:
Cayenne Medical Inc., a Scottsdale-based medical-devices firm that develops products for treating joint and ligament injuries, completed a $15 million round of venture-capital fundraising in the first quarter of 2008. The Series C financing, led by Investor Growth Capital, raised the total amount of private-equity investments in the company to $32 million since its 2005 founding.
Full Story:
Compiled from media reports
Cayenne Medical Inc., a Scottsdale-based medical-devices firm that develops products for treating joint and ligament injuries, completed a $15 million round of venture-capital fundraising in the first quarter of 2008. The Series C financing, led by Investor Growth Capital (IGC), raised the total amount of private-equity investments in the company to $32 million since its 2005 founding.
Cayenne chief financial officer Dan Murray indicated that the successful financing suggested a promising future for the company. "You've got to have a big market, a great product, a great management team and execution" to attract investments, Murray said in the Arizona Republic.
Cayenne will use IGC's investment to ramp up marketing of its product line, to bring the company closer to profitability.
"This successful round of financing will enable us to expand our sales and distribution footprint and further support the continued roll-out of our AperFix System," said James W. Hart, Cayenne's president and CEO.
The AperFix System is the better-known of Cayenne's two products designed for use in conjunction with surgery to repair anterior cruciate ligament (ACL) tears. The AperFix System, used in ACL repairs involving hamstring and other soft tissue grafts, consists of femoral and tibial implants made from polyetheretherketone (PEEK), a resilient semicrystalline thermoplastic with a range of industrial and biomedical applications.
The iFix Interference Screw System uses PEEK screws in ACL repairs involving bone-tendon-bone grafts. In February, Cayenne announced that the iFix system had received market clearance from the U.S. Food and Drug Administration. The iFix screws are the first FDA-approved screws made of PEEK on the market; PEEK is a bio-inert material, lessening the likelihood of inflammatory responses from the body.
IGC, Cayenne's investor, is the venture-capital arm of Investor AB, a publicly traded industrial holding company listed on the Stockholm Exchange.
For more information:
"Growing Valley Firms receive $80 mil in venture capital," Arizona Republic, 04/19/2008
Cayenne Medical Inc. media release