Cerapedics, based in Westminster, Colorado, has announced that the company has completed a $22 million financing led by KCK Group, a family investment fund.
“We are pleased to announce that we have successfully completed an equity financing that will continue to accelerate the commercial release of i-FACTOR Peptide Enhanced Bone Graft and support the execution of a second Level I investigational device exemption (IDE) human clinical study that will broaden our market indication in the $2 billion U.S. spinal market,” said Glen A. Kashuba, chief executive officer of Cerapedics.
“This year we have exceeded our own expectations regarding year-over-year revenue growth and have significantly expanded our user base as surgeons continue to express a high level of satisfaction with clinical results that support the safety and efficacy of our product. We also understand the value of Level I human clinical data and are committed to investing and expanding our indications.”
“We are fortunate to be supported by KCK Group, a partner that shares in the long-term vision that differentiated products that provide safety, efficacy and economic value, supported by human clinical results, will ultimately provide the highest value to surgeons and their patients.”
According to the company, i-FACTOR Peptide Enhanced Bone Graft is based on proprietary biomimetic small peptide (P-15) technology that has a novel mechanism of action (attract, attach, and activate) that induces osteoblast cell proliferation and differentiation to accelerate new bone formation in patients with degenerative disc disease. This unique drug-device technology enhances the body’s natural bone healing process through cellular activity that is directional and predictable.
Mr. Kashuba commented to OTW, “The proceeds of the financing will be used to fund our two primary initiatives: Expanding upon our ongoing commercial success and helping to fund our IDE study in TLIF with the next generation version of our product.”
Asked what sort of growth they envision over the next 12 months, Kashuba told OTW, “While we prefer not to share revenue numbers publicly at this time, we’re currently much more than doubling our annual revenues and expect to be able to continue on this trajectory for some time.”
