SpinalMotion Closes $14 Million Loan Facility
Healthcare Financial Services
Company Presents Shock-Absorbing Disc and Posterior Disc at NASS
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--SpinalMotion, developer of two investigational artificial discs for treating patients with degenerative disc disease, has closed a $14 million loan facility with GE Healthcare Financial Services. The venture debt will be used to fund SpinalMotion’s product expansion and additional clinical evaluation.
“Our team used its industry expertise to create a tailored financing solution that complements SpinalMotion’s short- and long-term strategic goals.”
“We are pleased to work with GE Healthcare Financial Services as we finalize the development of our shock-absorbing discs and posterior disc,” said David Hovda, SpinalMotion president & CEO. “In addition, our clinical trials are progressing well and early feedback continues to be positive.”
SpinalMotion presented two of its new product expansion concepts at the North American Spine Society (NASS) meeting in Austin, Texas last month. The first new technology is a shock-absorbing disc for use in both cervical and lumbar applications. The second is a posteriorly-placed lumbar disc. Both leverage technology used in the company’s original two products, the Kineflex®|C cervical disc and Kineflex® lumbar disc. The Kineflex discs are currently being evaluated as part of Investigational Device Exemptions (IDEs). Patient enrollment in both trials is complete, and follow up is currently underway.
“Partnering with a category leader like SpinalMotion to solve a business challenge was a great experience for GE Healthcare Financial Services,” said Anthony Storino, senior managing director, GE Healthcare Financial Services' life science finance group. “Our team used its industry expertise to create a tailored financing solution that complements SpinalMotion’s short- and long-term strategic goals.”
The SpinalMotion Kineflex lumbar disc and the Kineflex|C cervical disc are second-generation designs intended to preserve motion with low wear. They feature a metal on metal, mobile bearing design with a proprietary, straight-forward implant technique that includes specialized instruments for accurate placement. Both discs are CE Marked and are being sold internationally.
About the Artificial Disc Market
The National Center for Health Statistics reports that 14 percent of new patient visits to physician offices (approximately 13 million annually) are for complaints of low back pain. In fact, an estimated 18 percent of the population has debilitating back pain at any given time. These demographics, along with the tremendous costs to society and the focus on new treatments, have made spinal implants the fastest growing segment of the orthopedic market.
About GE Healthcare Financial Services
GE Healthcare Financial Services is the premier provider of capital, financial solutions, and related services for the global healthcare market. With over $17 billion in assets, GE Healthcare Financial Services offers a full range of financing capabilities from equipment leasing and real estate financing to working capital lending, vendor programs, and acquisition financing. With a dedicated focus and a deep knowledge of the healthcare industry, GE Healthcare Financial Services collaborates with customers to create tailored financial solutions that help them improve their productivity and profitability. For more information, visit www.gehealthcarefinance.com.
SpinalMotion is focused exclusively on spinal disc arthroplasty, developing innovative technology designed to further enhance options for patients suffering from degenerative disc disease. SpinalMotion was founded in September 2003. The company is located in Mountain View, California. To learn more, visit our website at www.spinalmotion.com.
Caution: Kineflex and Kineflex/C Spinal Systems are Investigational devices in the United States and are limited by United States law to investigational use.
Any forward-looking statements are subject to risks and uncertainties. Actual results may differ substantially from anticipated results.