CereVasc announced that it completed the initial closing of an $85 million Series C financing round to support its eShunt system.
Piper Sandler Merchant Banking led the financing round for the Boston-based company. Johnson & Johnson Innovation – JJDC, Inc., Johnson & Johnson’s corporate venture capital arm, and Medtronic also participated, as did existing investors Bain Capital Life Sciences and Perceptive Xontogeny Venture Funds.
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CereVasc plans to use the cash infusion to fund the continued clinical and regulatory development of its eShunt system. eShunt is a minimally invasive endovascular treatment option with potential benefits. It includes an endovascularly implantable cerebral spinal fluid (CSF) shunt and delivery components. Those delivery components include a self-expanding nitinol anchor.
The company plans to use funds to support its ongoing STRIDE pivotal trial in patients with normal pressure hydrocephalus (NPH). STRIDE pits eShunt against the current standard of care, the ventriculo-peritoneal (VP) shunt. CereVasc plans to use findings from STRIDE to support a future premarket approval (PMA) submission to the FDA.
Additional uses of proceeds include advancing organizational growth and operational scale-up as CereVasc moves toward commercialization.
In conjunction with the financing, the company added Kevin Conroy, Christopher Geyen and Tom Schnettler to its board. Conroy becomes lead independent director, Geyen becomes an independent director and chair of the Audit Committee and Schnettler joins as a director, representing Piper Sandler Merchant Banking.
Dan Levangie, chair and CEO of CereVasc, said:
“This Series C financing is a meaningful milestone for CereVasc, and more importantly, for the patients who are living with conditions for which current treatment options remain inadequate. This funding supports the next critical phase for the eShunt System, including PMA submission and preparation for commercial launch — accelerating our path toward a minimally invasive surgery that we believe has the potential to meaningfully improve patient outcomes and quality of life. We are delighted to welcome a slate of new investors and directors whose experience and conviction will help guide CereVasc through this next phase of growth, and we remain deeply grateful for the continued support of our existing partners.”
