Israel-based shoulder implant developer OrthoSpace has secured $7m in capital from consortium that featured pharmaceutical firm Johnson & Johnson’s corporate venturing arm Johnson & Johnson Innovation – JJDC.
The round also featured medical equipment manufacturer Smith & Nephew, private equity firm HealthpointCapital and VC firm Triventures.
OrtoSpace has developed an orthopaedic biodegradable balloon system that offers a minimally invasive procedure for rotator cuff repair. The product, dubbed InSpace, has been approved in the EU and is being commercialised in Europe, Israel, Russia and Hong Kong.
The company is currently undergoing an Investigational Device Exemption study with US regulatory Food and Drug Administration to launch a clinical trial in humans.
The money will go towards that study as well as increased commercial activities in Europe, Asia and South America. The round also provides working capital.
In May 2015, Smith & Nephew participated in an $8m funding round led by HealthpointCapital. Triventures also took part in that round.
Itay Barnea, chief executive of OrthoSpace, said: “This is an exciting time for OrthoSpace. We are seeing great traction for InSpace among the European shoulder community where surgeons are grateful for a simple, effective option to treat rotator cuff injury.
“US surgeons have begun to learn about and gain experience with our device through participation in the US IDE Study, where enrolment is well underway. We are pleased to complete this financing to continue to invest in the company’s growth, and we look forward to offering InSpace in additional major markets worldwide.”