New Brighton-based Cardionomic Inc. has raised $15.8 million to further clinical research of its neuromodulation device for heart failure.
The company will primarily use the money to advance human testing of the device and related therapy, said Steve Goedeke, president and CEO of Cardionomic Inc. The company also aims to allocate some of the funds for product development.
“These are long projects. We have tested the concept in more than 50 patients and the evidence looks really good,” he said. “We’ve got a lot of human data already, but we’ll have additional human data as a result of these funds, and it will be very substantial.”
A commercial product design of the product is ready to go, Goedeke said, but FDA approval is still years away at this point.
New Enterprise Associates, Cleveland Clinic, and Ascension Ventures in St. Louis are the primary funders. (A doctor at Cleveland Clinic is the original inventor of the device, Goedeke added.) Another large company also invested, but Goedeke declined to share the name.
For this fundraising round, Cardionomic is seeking $16.8 million in total, according to a Feb. 21 SEC filing.
“We got the funds that we asked for from our internal investors, but we opened it for another million dollars for some interested parties,” he said. “You always need more money and more time.”
The device, which was licensed in 2012, is targeted for patients experiencing acute decompensated heart failure and is intended to increase heart contractility.
“It’s a new physiological mechanism we’ve demonstrated, and that is the ability to increase the performance of the heart by neuro-modulation or electrical stimulation in a way that’s never been done before.” Goedeke said. “There are many extensions across different patient populations, and that different product embodiment. So, we’re really just at the beginning of a journey that has lots and lots of opportunity.”
Now, Cardionomic is seeking intellectual property rights for those other opportunities, he said.
“We are fortunate to be doing this in the Twin Cities because we do quite a bit of our work with partners around town,” Goedeke said. “The ecosystem here is really conducive to doing a project like we’re doing.”