US-based medical device producer CVRx secured $93m in equity funding led by healthcare group Johnson & Johnson’s Johnson & Johnson Innovation – JJDC subsidiary on Tuesday alongside a $20m term loan agreement.
Action Potential Venture Capital, the venture capital fund launched by pharmaceutical firm GlaxoSmithKline in 2013, also took part in the series G round, as did VC firms New Enterprise Associates (NEA), Ysios Capital, Gilde Healthcare Partners and Windham Venture Partners.
The equity portion will comprise $57.7m of funding upfront, with a further $35.3m to be supplied by the same investors once an undisclosed operational milestone has been met. The debt facility is being provided by Oxford Finance.
Founded in 2001, CVRx has developed a minimally-invasive implantable system called Barostim to treat heart failure and resistant hypertension.
Barostim is commercially available in more than 20 countries, and the series G cash will fund a phase 3 clinical trial in the US to confirm its safety and effectiveness for chronic heart failure patients.
CVRx had previously raised about $265m in equity and debt, including $42m from JJDC, healthcare provider DaVita HealthCare Partners, Ysios Capital, NEA, BBT Fund and SightLine Partners in 2013.
JJDC had previously led a $65m round for CVRx in 2007 and an $84m round the following year that was co-led with NEA. Both rounds included BBT Fund, Thomas Weisel Healthcare Venture Partners, InterWest Partners, Frazier Healthcare Ventures and SightLine Partners.
Leerink Partners was financial advisor to CVRx for the equity fundraising, while Armentum Partners was advisor for the debt financing.
– Photo courtesy of CVRx