Relievant Medsystems said today that it raised a $36 million equity round to support clinical trials for its Intracept intraosseous nerve ablation system.
The Intracept system is designed to use radio frequency energy delivered through specially designed instruments during a minimally invasive surgical procedure to access and ablate the basivertebral nerve.
The company touts the system as the 1st specific therapy to relieve chronic lower back pain which has persisted for at least 6 months and not responded to conservative care during the time, which is caused by changes associated with degeneration of spinal vertebral bodies.
“We are proud to have our venture investment partners bolster our efforts to bring the novel Intracept therapy to the millions of patients suffering from CLBP and establish Intracept as a franchise opportunity in the marketplace. This capital will enable Relievant to accelerate execution of our product, clinical and market development activities to advance intraosseous basivertebral nerve ablation for CLBP ahead of successfully commercializing Intracept worldwide,” Relievant president & CEO Alex DiNello said in a press release.
The round was led by New Enterprise Assoc. and joined by Canaan Partners, Emergent Medical Partners and Morgenthaler Ventures, Relievant said.
“NEA is excited to continue its partnership with Relievant in bringing a game-changing technology to the millions of people who suffer from chronic low back pain. The robust Level 1 Smart clinical trial results demonstrate the Intracept system to be a safe, effective, durable and minimally invasive procedure that addresses a multi-billion dollar growth market. We believe the company’s dedication to demonstrating the benefits of Intracept through additional clinical development – working in close partnership with its clinical advisors, key societies and the payor community – is exactly the right approach to providing a therapy that addresses the needs of patients, spine surgeons and interventionalists, and payors,” NEA partner Dr. Justin Klein said in prepared remarks.
Funds raised in the round will help support additional clinical studies of the Intracept system, expanding the company’s product portfolio, accelerating commercial activities including “strategic initiatives with medicare contractors and third-party private payors,” the Redwood City, Calif.-based company said.
Relievant won FDA 510(k) clearance for the Intracept system in July, with indications for the treatment of chronic lower back pain.
The clearance came supported by the company’s 225-patient Smart study, which reported a mean improvement on the Oswestry Disability Index of 20.5 points, or 48%, from the baseline at 3 months, meeting the primary endpoint of the study.
