BrainQ, an Israel-based stroke therapy technology specialist, has raised $40m in a funding round with participation from pharmaceutical company Dexcel Pharma.
The round was led by venture capital firm Hanaco Ventures, with Dexcel Pharma and VC firm Peregrine Ventures investing alongside.
BrainQ’s artificial intelligence (AI)-based technology targets a faster recovery for survivors of ischaemic stroke, around 50-70% of whom currently suffer from chronic disability, through non-invasive electromagnetic field therapy to treat neurological damage.
Following the February 2021 designation from the US Food and Drug Administration (FDA) of BrainQ’s technology as a breakthrough device, the new equity will be used to fund a “pivotal” trial for its technology across 12 undisclosed facilities around the US.
The latest funding adds to the $8.8m BrainQ had raised by May 2018 from Qure Ventures, OurCrowd.com, IT-Farm, Norma Investments and angel investors like Amir Gross.
Yotam Drechsler, CEO of BrainQ, said: “We’ve seen great advancements in increasing stroke survival rates, but it remains the leading cause of long-term disability. With new funding and strong research partners, we’re entering our pivotal study aimed at significantly increasing the window of opportunity for reducing disability and enhancing recovery potential.”
Delivered through a cloud-connected wearable device, the fact that the therapy could be done remotely – away from a healthcare facility – was not received well in the early stages. The effect of the pandemic changed that perception as, in addition to a more widespread move to the virtual sphere, stroke patients were less able to travel to get treatment.
