Neuromod to ramp up headcount to manufacture and commercialise its ground-breaking device for tinnitus.
Dublin tinnitus therapy start-up Neuromod has raised €10.5m in what it describes as an oversubscribed Series B financing.
The investment was part of a bumper day for Dublin tech start-ups with the €10.5m investment in Neuromod as well as the €47.4m raised by e-learning player LearnUpon bringing to almost €58m the amount raised by two Dublin tech firms in a single day.
“The financing will also help us progress market entry into the US, where there is a significant unmet need, particularly among US veterans for whom tinnitus is the largest and fastest-growing cause of service-connected disability”
The Neuromod investment was led by majority investor Fountain Healthcare Partners, with participation from existing investors Moffett Investment Holdings and Medical Device Resources, with venture-debt provided by Kreos Capital and Silicon Valley Bank.
Tinnitus is a chronic condition that affects 10pc to 15pc of the global population and is commonly described as a “ringing in the ears.”
Proceeds from the financing will be used to expand European commercialisation of the company’s Lenire tinnitus treatment device; to scale-up manufacturing, progress the Company’s U.S. FDA strategy, and pursue opportunities with the United States Department of Veteran Affairs.
It is estimated that roughly 20m Americans struggle with burdensome chronic tinnitus, while over 2m U.S. Veterans receive disability payments for service-connected tinnitus, according to the 2019 USVA Annual Benefits Report.
Neuromod’s European expansion began in April 2020 with the opening of the Company’s German office in Bavaria, Germany.
Neuromod plans to invest significantly in sales and marketing and will recruit 40 employees over the next 12 months, with roles based initially in Ireland and Germany.
“We are delighted to announce the successful completion of Series B financing, which will ramp up manufacturing of our Lenire tinnitus treatment device to meet demand across Europe,” said founding CEO Ross O’Neill.
“The financing will also help us progress market entry into the United States, where there is a significant unmet need, particularly among US veterans for whom tinnitus is the largest and fastest-growing cause of service-connected disability. It is fantastic to have the continued support of our lead investors, Fountain Healthcare Partners, as well as Moffett Investments, Medical Device Resources, Kreos Capital and Silicon Valley Bank”.
Lenire is the first non-invasive bimodal neuromodulation tinnitus treatment shown to soothe and relieve tinnitus. Lenire has CE-mark certification for the treatment of tinnitus under the supervision of an appropriately qualified healthcare professional in Europe.
“We are proud to continue to support Neuromod’s mission to improve the quality of life of millions of patients around the world who suffer from tinnitus,” said Dr Manus Rogan, chair of Neuromod and managing partner of Fountain Healthcare Partners.
“This is an exciting time for the company, and we are confident that it has an effective and safe technology, as proven by the recently published clinical trial results in the prestigious journal Science Translational Medicine. Neuromod has a very bright future and we are excited to play our part in making that happen”.
By John Kennedy (firstname.lastname@example.org)
Published: 21 October, 2020