Action Potential Venture Capital (APVC), a subsidiary of pharmaceutical firm GlaxoSmithKline, increased its stake in US-based biomedical technology developer SetPoint Medical yesterday a part of a $15m extension to its series C round.
The round, which has closed at $43m, was also backed by an undisclosed new strategic investor and all SetPoint’s existing investors, which include medical device makers Covidien, which invested through its Covidien Ventures unit, and Boston Scientific, as well as Morgenthaler Ventures, Foundation Medical Partners and Topspin Partners.
SetPoint is working on a bioelectronic medicine platform that would use an implanted device to treat inflammation-mediated autoimmune diseases by stimulating the vagus nerve, which in turn activates a systemic anti-inflammatory reflex in the human body.
The cash will fund clinical trials for SetPoint’s treatment in rheumatoid arthritis and Crohn’s disease.
The first tranche of the round was raised in 2013. Juan-Pablo Mas, a partner at APVC, will join SetPoint’s board of directors in conjunction with the round’s closure.
Mas said: “SetPoint’s progress to date has been impressive, with promising data showing the potential of bioelectronic medicine as a revolutionary new way to treat diseases without drugs, using the body’s own systems.
“We look forward to working with SetPoint to help fulfill this potential to deliver innovative treatments for rheumatoid arthritis, Crohn’s disease and other autoimmune and inflammatory diseases.”
SetPoint had previously raised $9m across two equity rounds in 2009 and 2010, as well as $3.3m in debt across 2011 and 2012.