Dialysis Technology Developer Outset Medical Secures USD 91m of New Funding.
M2 PHARMA-June 9, 2015-Dialysis Technology Developer Outset Medical Secures USD 91m of New Funding
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US-based dialysis technology developer Outset Medical has raised USD 91m in equity and debt funding, the company said on Tuesday.
New investor Fidelity Research and Management company led the USD 51m equity financing, with participation from existing investors Warburg Pincus and The Vertical Group, as well as new investors Partner Fund Management LP, Perceptive Advisors and CRG.
In addition, CRG led a USD40 m debt financing.
Outset Medical said that its Tablo System is the first to combine consumer product simplicity, wireless connectivity and real-time integrated water purification to create a 35-inch dialysis clinic on wheels.
Tablo has been cleared by the US Food and Drug Administration for use in acute and chronic care settings such as dialysis clinics and hospitals.
Outset said it will use proceeds from the financing to begin a controlled commercial introduction this year and to pursue expanded FDA clearance to allow patients to use Tablo at home.
The FDA recently approved an investigational device exemption trial to evaluate the safety and efficacy of Tablo in this setting.
Dialysis is delivered several times per week to remove waste products and excess fluid from patients with kidney failure. With 460,000 patients in the United States dialyzing at least three times per week, more than 72m dialysis treatments take place each year.
According to the 2011 United States Renal Data System (USRDS), the annual cost of dialysis to Medicare exceeds USD 34bn.
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