Equity Offering to Support Heart Failure Trial and European Commercial Expansion
Minneapolis – CVRx, Inc., a private medical device company, has announced an equity financing totaling $93 million. Gilde Healthcare participated in the financing alongside existing investors, Johnson & Johnson Innovation—JJDC, and New Enterprise Associates. CVRx is the first investment from the newly raised Gilde Healthcare IV fund which closed a few weeks ago at its hard cap of EUR 250 million.
CVRx has developed the second-generation BAROSTIM NEO, a minimally-invasive implantable neurostimulator, and the only device CE Marked for the separate indications of heart failure and resistant hypertension. BAROSTIM NEO is commercially available in over 20 countries and under clinical evaluation for the treatment of heart failure in the United States. CVRx plans to use the proceeds of this financing for the primary purposes of completing the Baroreflex Activation Therapy for Heart Failure Pivotal Clinical Trial (BeAT-HF) and expanding its global commercial activities.
In the United States and Europe, heart failure is estimated to affect 15 million adults, and is associated with a four-fold increased risk of death and a six to nine times increased risk of sudden cardiac death. The direct and indirect costs of heart failure are estimated to be $32 billion in the United States alone. Geoff Pardo from Gilde, who will join the CVRx Board of Directors, commented, “We are extremely excited to join the CVRx team. Heart failure not only represents one of the biggest unmet clinical needs, but the costs associated with treatment represent a significant burden on health systems globally. CVRx has the potential to dramatically improve clinical outcomes and reduce the cost of care for this patient population.”
About Gilde Healthcare
Gilde Healthcare (Utrecht, The Netherlands and Cambridge, USA) is a European specialist investment firm focused on private healthcare companies. It has over €800 million ($900 million) under management and is actively looking to lead new investments in digital health, medical devices, therapeutics and healthcare services. Gilde is currently investing out of GHC IV which is financed, in part, by the European Recovery Program-European Investment Fund Facility. Gilde successfully builds healthcare businesses across Europe and US, investing up to €30 million in a single portfolio company. For a list of Gilde’s portfolio companies please visit the website at gildehealthcare.com.