Invendo Medical said it raised a $28 million (€20.3 million) funding round for its single-use colonoscopy system led by new backer Xeraya Capital.
Kissing, Germany, and New York-based Invendo said a German Family Office also joined the round, which included existing investors TVM Capital, Wellington Partner, 360° Capital and its founders.
Invendo said its Invendoscope SC20 device won 510(k) clearance from the FDA back in March 2013. The company touts it as the only single-use colonoscope cleared for the market, saying its robotic "gentle drive" technology exerts less pressure on the colon wall than conventional colonoscopes.
"We are very excited about Xeraya Capital and the other investors supporting us with this new funding, which comes at precisely the right time as we are building first installations and initial usage in the U.S. Colonoscopy is already a huge market, with at least 16 million procedures per year in the U.S. alone, although compliance remains insufficient," CEO Berthold Hackl said in prepared remarks. "We expect that the Invendoscope will be instrumental in enhancing adherence to colorectal cancer screening, since it addresses some of the major hurdles for patients to undergo the procedure. For the first time, there is a computer-assisted alternative available with a robotic component that applies less force during the procedure. Last but not least, in many medical fields single-use devices have eventually won the day, and the Invendoscope is the only one of its kind right now."
Invendo said it plans to use the proceeds "to kick-off its industrialization efforts" in the U.S., including building up its marketing and service infrastructure, boosting production capacity and supporting ongoing R&D efforts for optics and ease of use.