by James Cavuoto, editor
May 2012
June 6, 2012 | Several executives of neurotechnology firms made presentations at the 2012 Neurotech Industry Investing & Partnering Conference, held in Boston, MA earlier this month. The event was hosted by the Neurotechnology Industry Organization and NeuroInsights.
The conference began with a session on investment chaired by Bruce Leuchter of CP Health Ventures. Leuchter mentioned that neuro telemedicine is an area that hasn’t yet been embraced by the neurotech industry. He believes there might be a long-term opportunity for a logistics-oriented firm that follows the patient with 24-hour EEG monitoring, for example.
Jim Broderick from Morganthaler Ventures mentioned his firm’s investment in Ardian and SetPoint Medical, which is addressing the rheumatoid arthritis market. He said they are beginning to look at the European market. “Europe can jump into human studies more quickly,” he said.
Eric Elenko, a partner at Puretech Ventures, agreed that more device firms are going to Europe first. He said that Puretech looks for devices that are first in class. He mentioned Tal Medical, a Boston-area startup pursuing magnetic stimulation for treatment of depression, as an example of one of PureTech’s recent investments.
In a session on Alzheimer’s disease, Dan O’Connell from Functional Neuromodulation offered an update on the company’s DBS targeting the fornix for treatment of memory disorders. He said the company’s ADVance study has been expanded from 20 to 40 patients at six centers. Neuronetrix CEO K.C. Fadem gave attendees an update on the company’s Cognision wireless EEG headset, which is undergoing testing as a diagnostic for AD. He hopes to have a 510(k) approval by the end of the year. His first customers will be private memory centers and AD research centers.
In a session on internal and external R&D, Sherrie Perkins of Cyberonics said that the company would be expanding its footprint in neuroscience, both with new epilepsy products and new business opportunities with external collaborators. Cyberonics is currently pursuing 18 agreements with 13 different partners, she said. Depression and congestive heart failure are two areas of potential expansion. Cyberonics plans to resubmit to CMS its application for a national coverage decision on vagus nerve stimulation for treatment-resistant depression.
Sjaak Deckers, CEO of European startup Sapiens Steering Brain Stimulation, described his company’s high-resolution DBS lead, which features 64 contacts. He said the device’s resolution allows a clinician to steer away from brain areas you don’t want to stimulate and reduce presurgical planning to 15 minutes from 1 hour currently. The system is also capable of recording local field potentials in the brain for fine tuning of stimulation targets. Deckers anticipates obtaining CE Mark in 2014 and FDA trials in 2015.
Jon Snyder, CEO of Neuros Medical, gave attendees an update on the company’s high-frequency nerve block system to treat amputee pain, post surgical pain, and other potential applications, such as trigeminal neuralgia and occipital neuralgia. The device is an attractive alternative to injectable nerve blocks, which cannot be used on a consistent basis. Neuros plans to develop its IPG this year and the company has begun a pilot study of 10 to 20 patients in OH. Snyder foresees a series B investment round of $7 to $9 million in 2013.
On the second day of the conference, Jeffrey Erb, who recently took over as director of business development, alliances, and IP management at Medtronic Neuromodulation, offered his views on partnering with Medtronic. He said Medtronic is trying to be the partner of choice for interested firms, and has between $400 and $500 million invested at any given time. Medtronic is looking for strategic investments and Erb mentioned Functional Neuromodulation as an example of smaller firms that Medtronic can help pursue novel targets for neuromodulation. He advised neurotech entrepreneurs to be prepared with a lot of data to support their new applications.
Four neurotech device startups participated in a session on frontiers in neurotechnology. Leon Ekchian, CEO of NeuroSigma, described his firm’s trigeminal nerve stimulation systems, which include external and implanted versions. The company also plans to develop a DBS system and a thin-film brain aneurism device. Trigeminal nerve stimulation will be targeted at epilepsy and depression and the company plans to file a CE Mark later this year. A Phase II randomized control trial with 50 patients is underway.
Aleva Neurotherapeutics CEO Jean-Pierre Rosat described the company’s micro DBS platform of implantable leads. The flexible neuroprobes are made of polyimide and platinum. Rosat said the leads would be plug-in compatible with existing IPGs. Aleva also has a Cortistim product that targets small brain regions for subdural cortical stimulation. A segmented electrode design allows for 120-, 240-, or 360-degree coverage.
William Tyler, the founder and CEO of NeuroTrek, described his firms’ pulsed ultrasound system. Other neurotech firms presenting at the conference included MicroTransponder Inc., Cervel Neurotechnology (formerly NeoStim), and eNeura Therapeutics.
June 6, 2012 |
