Local company raises funds to develop tiny drug pump.

Local company raises funds to develop tiny drug pump

A medical instrument company in San Diego has raised $1.3 million to fine-tune a wristwatchlike system that pumps tiny doses of drugs into a patient's veins.

After a two-year search for financial backers, Electrochemical Drug Delivery Inc. secured the new funds late last month from Cincinnati-based Senmed Medical Ventures.

"We believe Dr. Maget's technology has a lot of potential and offers advantages over current pumps on the market," said Skip Dederick, Senmed group director of venture projects. "It's very small, energy efficient and extremely precise. There's some serious corporate interest in it already," Dederick said.

Senmed is a 2-year-old venture capital firm that invests strictly in medical products and biotechnology ventures. The company has nine investments and about $15 million in capital under management or committed, Dederick said.

Electrochemical Drug Delivery Inc., which also calls itself EDI, was founded by company president and inventor Henri Maget. A native Frenchman who has lived in the United States 20 years, Maget came to San Diego seven years ago with an electrochemical motor, developed using a proprietary membrane technology. He then sold the device's licensing rights to a local IV infusion products manufacturer and worked as a consultant to the company, Maget said.

He wouldn't disclose the name of the San Diego IV maker. But local industry sources said IVAC Corp., now owned by Indiana-based Eli Lilly & Co., bought the rights to Maget's device and sunk more than $5 million into its development. But two years ago, IVAC canceled the project, the sources said.

IVAC officials could not be reached for comment.

"Rumors were that IVAC decided the thing was going to be too hard to manufacture in quantity," said Greg Sancoff, president of Block Medical Inc., another local IV infusion device manufacturer that also is working on a wrist-mounted, IV delivery system.

"That's why Maget then made the rounds of the venture capitalists," Sancoff said.

Neither Maget nor Senmed's Dederick would confirm the IVAC connection.

"We're sorting through several questions concerning manufacturing costs and marketing right now, but wouldn't have invested in the company if we thought there were problems. We plan to fund it more when the time comes," Dederick said.

Maget, who two years ago bought back the rights to the technology from the local IV maker, said: "I wouldn't have done that if I didn't think it wasn't good."

After buying back the technology, Maget founded Maget & Associates to continue research and development. About three months ago, he renamed the company to reflect its focus and and hired the company's first employees, two bioengineers.

EDI is one of several local companies developing portable drug infusion systems. Maget claimed future products using his electrochemical pump will replace conventional motor-driven pumps and portable battery-powered, backpack systems, such as those developed by locally based Block, IVAC, IMED and Pancretec Inc.

The new financing will be used to further develop and manufacture Maget's technology.

"There are several other configurations for the technology, but right now, wearing it on the wrist seems the most applicable. It lends itself to drugs given in small amounts and for a short period of time," investor Dederick said.

Certain biotechnolgy companies involved in protein delivery research also are interested in the product because of its small quantity capability, Dederick said.

Several companies in Northern California already are testing the product, Maget said. He declined to name the companies involved.

Recently approved by the Federal Drug Administration for animal testing, EDI's device, as yet unnamed, consists of a disposable, electrochemically driven motor that pumps drugs intravenously through a tiny catheter inserted into a vein in the wrist or hand.

The wristwatch-shaped device can hold up to 10 cubic centimeters of drugs, Maget said. Patients requiring short-term treatments of antibiotics, chemotherapy agents or pain medication would remove a tab on the device and start the release of drugs into the bloodstream.

Human clinical trials of EDI's device are expected to begin within 18 months. Manufacturing and marketing will commence soon after that, he also said.

The micropump and catheter can be worn for up to a week, even in the shower, he added. It is then discarded, and a new one is attached, if needed.

The product is expected to sell for $10 to $35 apiece.