Healthcare Industry News: NeoGuide Endoscopy System
News Release - September 26, 2006
NeoGuide Systems Closes Series C Financing$25 Million to Fund Commercialization of the Company's Breakthrough Computer-Assisted Colonoscopy System
LOS GATOS, Calif.--(HSMN NewsFeed)--NeoGuide Systems Inc., a developer of technology to prevent and treat colorectal cancer, today announced that it has raised $25 million in its Series C round of financing. NeoGuide is developing the NeoGuide Endoscopy System, a computer-assisted colonoscopy system designed to enhance physician control of the colonoscope and to eliminate looping, the principle reason why conventional colonoscopy is painful, time consuming and difficult. The Series C financing will be used to fund commercialization of the NeoGuide Endoscopy System in the United States, including ramping up manufacturing and the sales and service organizations.
The round was led by the London-based Advent Venture Partners. Advent was joined by existing investors Versant Ventures, Utah Ventures, 3i, Kaiser Permanente Ventures, Arboretum Ventures, SBV and The Angels Forum/Halo Fund. Rockport Venture Partners also participated in the round.
Amir Belson, MD, co-founder and president of NeoGuide, said, "We are very excited to be joined by Advent, one of the leading venture firms actively investing in Europe and the US. We look forward to working closely with them and the rest of our exceptional group of investors as we embark on the commercialization of the NeoGuide Endoscopy System."
Colorectal cancer (CRC) is the second leading cause of cancer deaths in the United States, yet it is highly preventable. Colonoscopy is considered the gold standard for CRC screening as it is the only screening method that allows the physician to inspect the entire colon and remove adenomatous polyps, the non-cancerous growths that have the potential to develop into colorectal cancer. Studies have shown that the vast majority of CRC cases can be prevented by screening colonoscopy and the removal of polyps.
In conventional colonoscopy, a flexible endoscope is inserted into the colon, which is essentially a flexible and highly tortuous tube. Advancing the colonoscope displaces the colon and stretches the surrounding tissue, a phenomenon known as looping. Unlike conventional scopes, the NeoGuide colonoscope is built out of multiple segments that can be actively controlled. As the physician inserts the NeoGuide scope, the system automatically creates a three dimensional map of the colon and then directs these segments to follow the path taken by the tip.
Shahzad Malik, MD, general partner at Advent Venture Partners, said, "NeoGuide has developed technology that we believe will have a major impact on colonoscopy, and in time, other endoscopic procedures. The phenomenon of looping in colonoscopy severely limits the procedure. Through its ease of use and associated efficiency gains, NeoGuide's unique solution will provide significant benefits to patients, physicians and the health-care system."
NeoGuide received FDA clearance of its NeoGuide Endoscopy System earlier this year and expects to begin commercialization in 2007.
About NeoGuide Systems
NeoGuide Systems was founded in 2000 with the mission to transform the way endoscopic procedures are conducted. The company is developing technology designed to revolutionize the way physicians visualize and deliver therapies within the body. Representing a significant departure in the way colonoscopies are performed, the NeoGuide Endoscopy System offers physicians more control through advanced features. For more information, please visit the company's website: www.neoguidesystems.com
About Advent Venture Partners
Advent Venture Partners is one of the most experienced technology venture capital firms in the UK. Established in 1981, it invests in both the Life Sciences and Information and Communications Technology sectors. Now in its 25th year, Advent Venture Partners has more than $900 million under management from institutional investors across Europe and the United States. It has backed more than 60 life science companies of which, to date, 18 have gone public including in the last year: Infinity Pharmaceuticals (reverse merger with Nasdaq-listed company Discovery Partners International), Micromet (reverse merger with Nasdaq-listed company CancerVax), Targacept (Nasdaq), Phoqus (AIM). Nine companies have been successfully sold. Recent investments by the Advent Venture Partners' Life Sciences team include Norwegian radiopharmaceuticals company, Algeta, the U.S. specialty pharmaceutical company CardioKine Inc., and UK biopharmaceutical company Thiakis, which develops hormone-based treatments for obesity. For more information: www.adventventures.com
Source: NeoGuide Systems
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