Montreal, Canada – October 31st 2016 – SoundBite Medical Solutions Inc. (SBMS), a Montreal and Sherbrooke-based cardiovascular medical technology company, announced today the third closing of the seed equity round for $5 million.
The financing was co-led by new Canadian investors Accel-Rx Health Sciences Accelerator, BDC Capital and the Bertrand group. “This third and final closing of our Seed Equity Round is further evidence of the strong interest SoundBite’s technology and business model have generated in the financial community” says Francis Bellido, CFO of SBMS Inc.
This new financing brings the total cash proceeds from all the financings to $14 million. These funds will be used to accelerate our clinical development plan for our pivotal trial and prepare for a CE mark approval in Q3 2017 and a FDA 510K filing in Q2 2018 for the peripheral chronic total occlusion (CTO) program.
“With this financing, we are well positioned to commence the clinical validation and commercialization process at SBMS. We have recently received regulatory clearance from Health Canada to commence human clinical trials in Q4 of this year” says Steve Arless, Co-Founder and CEO of SBMS.
SBMS initiated operations in May 2015. In just over eighteen months, the Company has grown to a Team of over 20 professional engineers and entrepreneurs, and advanced the technology from a university-based prototype system to an Alpha stage system designed and built under ISO design controls, ready for human clinical trials in Q4, 2016. SBMS technology delivers high energy shockwaves through .014” and .018” guidewires into the cardiovascular system to address difficult-to-cross calcified CTO’s. Approximately 30% to 40% of occlusions are difficult, if not impossible, to cross and often result in the need for bypass or amputation surgeries.
CTO’s are complete blockages of arteries, which are the result of severe progression of peripheral artery disease (PAD) and coronary artery disease (CAD), two prevalent and growing cardiovascular conditions affecting over 14 million and 10 million of North Americans, respectively. It is estimated that 40% of the PAD population and 30% of the CAD population possess CTO’s.
SoundBite Medical Solutions Inc. is developing proprietary shockwave technology to address significant unmet clinical needs in interventional cardiology. Through an elegant combination of hardware, firmware and software, it can, in a very controllable manner, deliver high amplitude shock wave pulses through guidewires and other interventional tools, to specifically attack highly calcified and fibrotic tissue in the vascular system, while leaving healthy, elastic vessels walls largely unharmed.
Accel-Rx is Canada’s health innovation accelerator fund providing seed capital and expertise to promising early-stage companies developing therapeutics, diagnostics and medical devices in order to help them grow and scale. Our rigorous screening process and funding match requirement provides validation for our investments while our custom programs and resources give our companies the best chance of success.
Accel-Rx provides seed funding together with founding partner, BDC Capital, and is a federal Centre of Excellence for Commercialization and Research (CECR). To find out more, visit www.accel-rx.com.
About BDC Capital
With more than $2billion under management, BDC Capital is the investment arm of BDC, serving as a strategic partner to Canada’s most innovative and high potential firms. It offers a range of equity, venture capital and flexible growth and transition capital solutions to help Canadian entrepreneurs scale their businesses into global champions. To find out more, visit bdc.ca/capital.
For further information on SoundBite Medical Solutions, please contact:
Steve Arless, CEO (firstname.lastname@example.org) or Francis Bellido, CFO (email@example.com), SoundBite Medical Solutions, 2300 Alfred Nobel, Technoparc St-Laurent, Montreal, Quebec H4S 2A4
SoundBite Medical Solutions Inc., Game Changer in CTO Treatment.
This press release contains forward-looking statements and forward-looking information, or, collectively, forward-looking statements, within the meaning of applicable securities laws, that are based on our management’s belief and assumptions and on information currently available to our management. You can identify forward-looking statements by terms such as “may”, “will”, “should”, “could”, “would”, “outlook”, “believe”, “plan”, “envisage”, “anticipate”, “expect” and “estimate” or the negatives of these terms, or variations of them. Forward-looking statements are based upon a number of assumptions and are subject to a number of risks and uncertainties, many of which are beyond SoundBite Medical Solutions Inc.’s control that could cause actual results to differ materially from those that are disclosed in or implied by such forward-looking information. The reader is cautioned to consider these and other risks and uncertainties carefully and not to put undue reliance on forward looking statements. Forward-looking statements reflect current expectations regarding future events and speak only as of the date of this press release and represent our expectations as of that date. We undertake no obligation to update or revise the information contained in this press release, whether as a result of new information, future events or circumstances.