Dublin-based Venture Capital Firm Seroba’s portfolio company, Novate, Acquired by BTG for up to $150m.
Dublin, Ireland 7 September 2018 – BTG plc (LSE:BTG) (BTG) and Seroba’s portfolio company, Novate Medical (Novate), today announced the signing of a definitive agreement in which BTG has acquired Novate for a $20m upfront payment with additional potential milestones of up to $130m.
Novate which is based in Galway has developed a novel blood filter device (“Sentry”) used as protection against highly dangerous pulmonary clots or embolisms. The company was founded by serial entrepreneurs Chas Taylor and Paul Gilson.
Pulmonary embolism (PE) is the blockage of an artery in the lungs and is one of the biggest killers today. Standard of care consists of anti-coagulant therapy and the placement of a protective filter in a key blood vessel to prevent blood clots migrating to the lungs. The current filter devices have shared common safety concerns of tilting, fracture within the blood vessel as well as device migration. Current devices also require a second retrieval operation. The complications associated with current devices have given rise to several class-action lawsuits in recent times. Sentry is designed to address the safety issues.
Speaking about the sale to BTG, Dr Daniel O’Mahony, who led the deal at Seroba, said “Since Seroba first met with the Novate team, we were confident that the Sentry device would become a truly disruptive product in the protection of patients from PE and we were excited to help fund the necessary development and clinical trials.
Under the leadership of Paul Bateman, CEO, the Novate team did an excellent job in the development of the Sentry device. The 12 month data from the Sentry device’s clinical trial with 135 patients showed the Sentry device was safe for patients with no incidences of tilting, occlusion, fracture or migration, while also providing 100% protection from PE. We are delighted with the BTG acquisition as we believe they have the vision, sales force and infrastructure to bring the Sentry device successfully to market in the USA.”
Seroba’s Managing Partner, Peter Sandys, added “Novate is based in Galway, one of the largest medtech hubs in the world. With more than 200,000 patients dying annually from PE in US hospitals alone, we’re delighted that the Sentry device, developed in Ireland, is now an option that doctors can use to treat patients at high-risk for this condition. BTG is a highly-synergistic acquirer and a great fit for Sentry. The sale to BTG represents another endorsement of the strength and quality of the Irish innovation ecosystem in general and of the medtech cluster in particular.”
About Novate Medical
Novate Medical based in Galway, Ireland recognised the clinical and commercial need associated with the safety concerns and limitations with current blood-clot filter devices. It pioneered the development of its novel approach that can effectively prevent pulmonary embolism in surgical and other patients who are at high-risk from dangerous blood-clot formation events, whilst also avoiding the risks and complications associated with the current generation of products. The company secured FDA regulatory approval in 2017 following completion of a clinical trial in the USA with its Sentry inferior vena cava filter.
About Seroba Life Sciences
Seroba is a European VC firm headquartered in Dublin, Ireland and working with leading entrepreneurs developing innovative medical devices, diagnostics and therapeutic drugs. We fund opportunities through key value-adding stages, from inception through to partnering with leading pharmaceutical or medtech companies. Our team combines in-depth scientific and medical knowledge with broad regulatory and commercial expertise. We are known for patience, understanding, commitment, passion and an over-riding focus on delivering improvements to patient care and value to our stakeholders.
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For further information, please contact Dr Daniel O’Mahony, Partner at Seroba responsible for the Novate investment. +353 86 8510550.