Private equity giant KKR (NYSE:KKR) put another $235 million into EchoNous, the parent company of Signostics, for the second time in as many years.
The cash is earmarked for commercializing the Uscan ultrasound device, developing a vein-location device and an unnamed artificial intelligence-driven ultrasound project to market, Seattle-based EchoNous said. KKR put $35 million into the company back in November 2015.
“KKR has been a strong partner since our first investment round together, so we are very pleased to receive additional support from them as we build a world-class company dedicated to solving everyday problems in health care by fusing machine learning and miniaturized ultrasound,” EchoNous CEO Kevin Goodwin said in prepared remarks. “We are confident that with KKR’s continued investment, we will accelerate Uscan’s market share in hospitals across the country, bringing a series of highly innovative, intelligent and unique health care tools to those who need them.”
“EchoNous is approaching ultrasound with a unique, AI-driven focus that we believe will revolutionize the way this technology is used in patient care,” added chairman & KKR healthcare director Justin Sabet-Peyman. “The rapid adoption of Uscan demonstrates the company’s ability to execute on its innovative approach to ultrasound technologies, and we are excited about its ongoing development of new intelligent devices to improve health care.”
Back in 2015 Signostics said it planned to use the original $35 million to fuel its R&D program and pay for expanding its worldwide commercial footprint. The company’s Sonimage P3 won 510(k) clearance from the FDA in 2013; a new product is on tap for 2016, and Signostics said at the time that it was planning “a series of breakout advancements in ultrasound technology.”
Signostics drafted Goodwin in April 2015, following SonoSite’s $1 billion acquisition by Fujifilm Holdings (TSE:4901). The company said it shifted its corporate domicile and headquarters from Clovelly Park, Australia, to Kirkland, Wash., before consummating the deal with KKR.