The News

Sofinnova Partners Leads Investment Round in CoAxia

22/06/2009

Funding of Stroke Company Exemplifies Firm’s Strategy in the Field of Medical Device

Paris, France & Minneapolis, MN, June 22, 2009 –Sofinnova Partners of Paris, France today announced having led a $21.5M financing in Minneapolis based medical device company CoAxia.  The round also included participation from previous major investors Affinity Capital Management, Baird Venture Partners, Canaan Ventures Partners, Johnson and Johnson Development Corporation, and Prism Ventureworks.

CoAxia is a company developing NeuroFloTM, a device providing perfusion augmentation developed for the treatment of ischemic stroke. The purpose of this Series D financing is to provide sufficient funds for CoAxia to complete its SENTIS pivotal trial, and to submit results to the US FDA.  In addition, the funds will allow further investigation of NeuroFlo in combination with a variety of stroke devices and drugs, and initiation of marketing.

Antoine Papiernik, Managing Partner at Sofinnova Partners commented: “Sofinnova is pleased to have led this financing round in CoAxia.  We have long been interested in treatment opportunities in ischemic stroke, given the very large, global, untreated population. We had been following CoAxia’s progress for many years, already considered investing five years ago, but we felt today was for us the right time to get involved. We find the NeuroFlo technique very compelling, given its ease of use, excellent safety profile and impressive early clinical results.  If the SENTIS trial is successful, we believe that NeuroFlo has the potential to become a standard of care. We are very impressed with the strength of CoAxia’s operating team, with whom we have interacted for many years, and are convinced that they can continue to deliver on the NeuroFlo potential. I look forward to joining CoAxia’s Board of Directors for this exciting period ahead.”

CoAxia President & CEO Andrew M. Weiss stated, “We are excited to have attracted Sofinnova Partners to lead this round, and to have continued support from our current investors: Affinity, Baird, Canaan, JJDC & Prism.  Despite the difficult financial environment, we are pleased to have raised a sizeable, and  oversubscribed, financing round. These funds will provide the resources to finalize our pivotal trial and demonstrate safety and efficacy.  Looking forward, with Sofinnova’s experience in financing medical device companies to successful exits, we believe that we are now well positioned for trial completion, PMA submission and initiation of sales and marketing.”

Sofinnova, since its founding in 1972, has had a strategy to fund medical device and biopharmaceutical companies developing breakthrough technologies and products dedicated to large unmet clinical needs. Not unlike its landmark investment in Corevalve (recently sold to Medtronic), for which Sofinnova Partners was the founding and largest investor, this CoAxia investment is made in a company that has the potential to revolutionize its field.

Sofinnova Partners is an independent venture capital firm based in Paris, France that specializes in investments in early stage companies and corporate spin-offs in life sciences and technology.  Since 1972, the firm has financed over 450 companies, many of which have gone public or have been acquired, and currently manages over €1 billion in assets.  Sofinnova’s experienced team and hands-on approach in nurturing and supporting portfolio companies from initial financing to successful exit have created market leaders and multiplied revenues. 

CoAxia, Inc. is a venture-backed, privately held, clinical-stage company providing perfusion augmentation therapies to improve outcomes for patients with cerebral ischemia resulting from stroke, vasospasm and other conditions.  In addition to the SENTIS, Flo24 and FASTFlo trials for ischemic stroke, CoAxia’s NeuroFloTM & FloControlTM devices have been approved by the US FDA via Humanitarian Device Exemption for the treatment of cerebral vasospasm, have received US FDA 510(k) clearance, and have secured the CE Mark for cerebral perfusion augmentation.

For further information contact Antoine Papiernik, Managing Partner at Sofinnova Partners apapiernik@sofinnova.fr) or Andrew M. Weiss, President & CEO of CoAxia (763-315-8393 or aweiss@coaxia.com) or Richard Schallhorn, Vice President, Marketing (763-315-8396 or rschallhorn@coaxia.com).