Oxford Endovascular raises USD10m in a Series A funding round
Oxford Endovascular, a British MedTech company and spin-out from Oxford University developing a treatment for brain aneurysms that will overcome challenges with existing medical devices, has raised USD10 million in a series A funding round.
The funding which was conducted in Pounds Sterling includes a GBP3 million investment from new investors Vulpes Investment Management, who joined to lead the round and funds from the Additio Investment Group. Existing investors Oxford Sciences Innovation PLC, Parkwalk Advisors, Perivoli Innovations, Oxford Investment Consultants, the University of Oxford and private individuals also followed on. The raise will enable the company to complete development work and gain first in-human data through an early feasibility clinical study. This will then set the scene for a further fundraise for larger FDA and CE Mark clinical trials paving the way for entry into various international markets valued at over USD1 billion. The China market for the company’s innovative technology is developing strongly and also presents strong opportunities.
The raise follows on from previous non-dilutive grant funding won, including EUR3 million from the European Union’s prestigious Horizon 2020 SME Instrument and GBP350,000 from Innovate UK, the UK’s innovation agency Smart Grant program. During the Covid-19 crisis in 2020 the company was also one of only seven start-ups across Europe & Israel that won funding in return for options, to the tune of EUR500,000.
Brain aneurysms are surprisingly common, affecting 1 in 50 people. If a patent has a rupture, they have a high chance of dying or suffering permanent brain damage. The company has developed a micro stent called OxiFlo, utilising ‘Origami’ engineering, which can be inserted into the brain blood vessels via minimally invasive groin access. It lies across the base of the aneurysm and causes it to shrink and heal. Spun out of the University of Oxford and developed by world leading professors of neuroradiology and engineering, this novel, next generation ‘flow-diverter’ can be placed more accurately and safely than existing treatments, reducing the risk of complications and having to use multiple devices.
Mike Karim, CEO of Oxford Endovascular, says: “The current device market for brain aneurysms is valued at well over USD1 billion and is growing rapidly year-on-year. One of the biggest challenges when it comes to treating neurovascular disease is having devices with high efficacy whilst minimising adverse events. Studies show that often multiple attempts are made to place treatment devices, as they often have challenges of landing accurately, opening and maintaining position. This can lead to adverse events and multiple devices being used. Procedures typically cost over USD50,000 to treat a brain aneurysm and a next generation flow diverter overcoming unmet needs, offers the chance for more effective, safer and cost effective treatments as well as allowing many more patients to benefit. We plan to use this funding to bring Oxford Endovascular’s ground-breaking technology to the next stage and gain clinical data from human studies.”
Martin Diggle, Portfolio Manager, Life Sciences at Vulpes Investment Management, who led the round, says: “The life sciences team at Vulpes are excited to be participating in the next stage of the development of Oxford `Endovascular's innovative technology . We believe this platform has the potential to become a world leader in its field.”
Alun Williams, Investment Director at Parkwalk Advisors, the leading investor in UK university spinouts, says: “Parkwalk are delighted to have invested in Oxford Endovascular. This raise is testament to the extraordinary work and innovation of a great team of development engineers and inventors and will help the company through its next stages of research.”
Nick Dixon-Clegg, Investment Principal at Oxford Sciences Innovation, said: “Oxford Sciences Innovation has invested in Oxford Endovascular since seed stage, and we are pleased to continue to do so whilst welcoming new investors Vulpes and Additio into the syndicate, allowing the life-changing OxiFlow device to be progressed towards the clinic.”