Despite a 10% dip quarter-over-quarter in capital dollars, venture capitalists' dollars exceeded $10 billion for the fifth consecutive quarter and two Tucson companies are among five in the state receiving new venture capital.
The five Arizona businesses raised in total $31 million in new venture capital financing during first quarter 2015 according to The MoneyTree™ Report that measures cash-for-equity investments by the professional venture capital community in private emerging companies in the US, based on data provided by Thomson Reuters. The survey included the investment activity of professional venture office, SBICs, venture arms of corporations, institutions, investment banks and similar entities whose primary activity is financial investing.
In Arizona, there were two Tucson companies, two in Chandler and one in Scottsdale involved in the $31 million in deals closed during the quarter. The two Tucson companies were for early stages, or seed capital.
Tucson-based Salutaris Medical Devices (SalutarisMD) received $1.22 million in new capital from Hoya Group according to a company news release. SalutarisMD will use the funding to further its growth strategy in developing its patented medical device designed for minimally invasive therapy of wet age-related macular degeneration (AMD).
The SalutarisMD device is designed to provide precise lesion-specific targeting. The procedure is performed using a hand-held instrument under the direct care and expertise of the treating retina specialist to deliver localized tissue irradiation, customized for each patient. The SalutarisMD device is designed as a practical, clinic-based procedure.
Terms of the deal were not disclosed.
NuvOx Pharma is a biotechnology company based in Tucson, Arizona with a novel patent portfolio allowing it to develop an innovative platform of dodecafluoropentane (DDFP)-based oxygen therapeutics to treat a host of human conditions. Founded in 2008, NuvOx Pharma has demonstrated therapeutic feasibility in radiation-resistant cancer, hemorrhagic shock, traumatic brain injury, myocardial infarction, retinopathy and stroke.
More than $100 Million was spent to develop DDFPe as a contrast imaging agent and now NuvOx owns all rights for therapeutic applications of DDFPe. The company received $500,000 in new capital from an unknown investment source.
Chandler’s Everspin Technologies Inc., a semiconductor company raisingthe highest amount, close to $17 million for company expansion and later-stage Parchment Inc., a Scottsdale education credentials software company, raised $4.5 million.
Arizona Venture capital raised, 1Q 2015
- Salutaris Medical Devices Inc., Tucson, Early Stage $1,220,000
- NuvOx Pharma LLC, Tucson, Early Stage $500,000
- Everspin Technologies Inc., Chandler, Expansion $16,984,100
- Synergis Education Inc., Chandler, Expansion $7,732,000
- Parchment Inc., Scottsdale, Later Stage $4,500,000
- Total: $30,936,000
To see the full NVCA PwC press release click here: Q1 2015 MoneyTree Report Press Release^^04-17-2015