Zyga Technology said yesterday it closed a $20 million round of financing, bringing $15 million in debt supplemented by $5 million in equity.
Based in Minnetonka, Minn., Zyga develops minimally invasive surgical products for the treatment of lumbar spinal conditions.
Funds from the round are slated to support sales and commercialization of its minimally invasive sacroiliac joint fusion technologies as coverage for the treatments improves.
Financing will also be used to support expansion of clinical studies to examine radiographic fusion and pain reduction with its SImmetry Sacroiliac joint fusion system.
“We expect clinical acceptance and utilization of SI joint fusion to grow dramatically over the next 12 – 18 months. The funds secured in this round of financing will be important as Zyga reinforces its commercial operation, and drives collection of clinical data demonstrating the SImmetry system’s ability to provide a successful SI joint arthrodesis both clinically and radiographically,” CEO Jim Bullock said in a press release.
The debt financing was led by Oxford Finance and Bridge Bank and the equity round was supported by existing major investors, Zyga said.
In August, Zyga said it won 510(k) clearance from the FDA for its Simmetry sacroiliac joint fusion system for single or 2-incision indications.
Last December, Zyga said it raised $2 million in an equity-and-options round it hopes will eventually bring in $5 million. A year earlier in December 2013, Zyga reported raising $10 million in a funding round involving 5 undisclosed investors.
In 2013, the company said it closed enrollment in the GLISSADE study, a 40-patient clinical trial of its Glyder facet resurfacing system in treatment of chronic back pain.