Bank of Ireland MEDTECH Accelerator Fund Leads €1.6m Investment in neoSurgical Ltd
Tuesday, 20 September 2011
The Minister for Jobs, Enterprise and Innovation Richard Bruton TD today announced a €1.6m investment in neoSurgical Ltd led by Kernel Capital. The syndicated investment comprises of a €500k investment by the Bank of Ireland MedTech Accelerator Fund, with the remainder of the funds provided by Enterprise Ireland and a number of private investors including experienced promoters from the Irish Med Tech industry.
“neoSurgical is an excellent start-up, we are impressed with their cohesive team, whom previously held senior executive positions in Johnson and Johnson Ireland. neoSurgical has developed a strong patent family, excellent product roadmap and the team has vast global experience in selling medical device products,” said Dawn Guiney, Kernel Capital.
neoSurgical working in collaboration with practicing surgeons is committed to developing and delivering innovative products that enable simpler, safer and more efficient laparoscopic abdominal surgery for better patient outcomes. The company's lead product neoClose* offers a new, superior method of closing laparoscopic wounds that can reduce or prevent herniation complications while giving hospitals the opportunity to realise significant cost savings.
Laparoscopic or minimally invasive surgery within the abdomen involves ‘keyhole’ incisions some of which may require closure. Ineffective closure can lead to an operative complication called a hernia, the complication rate of which is published to be in up to 3.1% and can be significantly higher in obese patients. In the US it has been estimated to cost the healthcare system in excess of $20,000 per patient to repair the hernia.
Commenting on the announcement, Dr. James J. Browne, President of National University of Ireland, Galway (NUI Galway) which is an investor in Kernel Capital said: “NUI Galway recognises the importance of translating research into innovative products. I am delighted that the MedTech Accelerator Fund, in which NUI Galway is a partner, is investing in neoSurgical Ltd. I wish neoSurgical every success.”
Donal Duffy, Head of Enterprise Ireland Relations, Bank of Ireland said: “Bank of Ireland is very pleased to add neoSurgical Ltd to the list of companies supported through the Bank of Ireland MedTech Accelerator Fund managed by Kernel Capital. This funding will enable the company develop and deliver innovative market leading products and take their place in the global med tech market.”
Welcoming the announcement, Seamus Bree, Director for West Region at Enterprise Ireland, said: “We have no hesitation in co-investing in NeoSurgical. This cutting-edge company, although fairly new, is a very innovative and growing player in the prospering medical devices sector. NeoSurgical’s commitment to research and development is impressive and leaves no doubt that this Galway-based company has great potential to internationalise their business.”
Barry Russell, CEO, Neosurgical Limited added: “The neoSurgical team is proud to have reached this significant funding milestone and in particular to have secured Kernel Capital as an investor with their great knowledge of our sector and strong validation of our technical and commercial roadmap. This investment will enable us to complete our device development and take our place in the global med tech market. neoClose* is the first in a portfolio of medical device projects that neoSurgical plan to develop to market in the coming years with the associated positive spin off to the Irish economy in terms of high value jobs and exports.”