US-based medical device producer ElectroCore closed a $70m series B round yesterday backed by pharmaceutical firm Merck through its Global Health Innovation Fund.
The round was led by Core Ventures II and also featured Gakasa, an affiliate of Knoll Capital, American Investment Holdings and Viniky Family Foundation. The round was first revealed in September 2017, when a regulatory filing showed ElectroCore had raised $36m out of a $65m target.
Founded in 2005, ElectroCore is developing treatments that rely on non-invasive stimulation of the vagus nerve – which reaches through the neck and thorax to the abdomen – to provide relief in a range of neurological, inflammatory and metabolic conditions.
The company is working on a commercial registry in the US for its GammaCore treatment, which targets acute pain associated with episodic cluster headache in adults.
The money will support the commercial launch, bolster scientific exploration of GammaCore and drive further development of the underlying technology.
Merck’s Global Healthcare Innovation Fund previously contributed to a $50m series A round in 2014, investing alongside Easton Capital and Core Ventures. A range of undisclosed backers had already provided $500,000 in seed capital in 2012.
Francis Amato, chief executive of ElectroCore, said: “The ongoing support from Core Ventures and Merck’s Global Health Innovation Fund shows continued confidence and enthusiasm for our mission to bring vagus nerve stimulation into the mainstream of medicine.
“The investments from Jeff Vinik’s and Knoll Capital’s groups are excellent confirmations that we have built a compelling platform for the future.”