NeuroPace has raised $67 million to support the commercial expansion of its technology for refractory focal epilepsy. The Mountain View, CA-based company said the financing includes $33 million of new equity capital and $34 million from convertible debt provided by current investors from a prior funding round.
The round was led by Accelmed Partners with participation from an unnamed strategic investor, Revelation Partners, Soleus Capital, and returning investors KCK Group and OrbiMed Advisors.
NeuroPace said its RNS System is the first and only FDA approved brain-responsive neurostimulator designed to prevent seizures before they start. The company first landed FDA approval about seven years ago.
The RNS System is a closed-loop, brain-responsive neurostimulation system that was designed to prevent epileptic seizures by stopping them at the source. The device uses a brain-computer interface that was designed to treat seizures by continuously monitoring brain waves to recognize each patient’s unique seizure onset fingerprint.
“This round of financing will enable us to execute our commercial strategy and maximize therapy adoption at comprehensive epilepsy centers,” said Mike Favet, CEO of NeuroPace. “It will also fund a clinical trial to expand our indication to patients under 18 years old, a population whose quality of life is especially impacted by epilepsy. We now have the highest seizure reduction rates reported by any epilepsy neuromodulation device, a robust product innovation pipeline, and market expansion opportunities. With this additional funding, we can bring RNS System’s life-changing technology to significantly more people who are living with refractory epilepsy.”
Recently published data show an unprecedented 82% median seizure reduction at three or more years, as well as enduring improvements in quality of life and cognition. In addition to proven clinical benefits, NeuroPace said the RNS System is the only device that continuously monitors and records EEG data, providing data-driven insights that enable physicians to optimize their patients’ epilepsy care.
Earlier this year, the device landed a PMA for MRI labeling. The technology is also being used in a clinical investigation that will examine whether neuromodulation could be effective as a means of managing loss-of-control eating for patients.
With this study, NeuroPace is venturing out into new territory.