University hospital Charité’s sinus surgery spinout Fiagon Medical has been acquired for more than $70m, with Cascara Ventures and Donghai Securities also scoring exits.
Fiagon Medical, a Germany-based sinus surgery technology spinout of university hospital Charité – Universitätsmedizin Berlin, was acquired by ear, nose and throat (ENT) therapy supplier Intersect ENT on Tuesday for €60m ($70.7m) in cash.
The deal is expected to close within weeks contingent on certain customary conditions. Fiagon shareholders will be paid over four annual $17.7m instalments once the acquisition closes.
Founded in 2007, Fiagon markets endoscopic instruments for the sinuses that link up to its medical device in order to track their position.
Each tool is affixed to an electromagnetic tip to capture images from inside the sinuses for display on the surgeon’s LCD monitor.
By containing functionality within a tip, Fiagon’s product allows surgeons to efficiently bend apparatus as with conventional sinus endoscopic equipment.
Intersect ENT believes the tools will complement its existing sinus implant products, and also plans to expand geographically, predicting increased top-line growth for its business within a year of the acquisition.
Fiagon raised $8.5m from investment bank Donghai Securities and investment firm German Startup Group in 2016.
Cascara Ventures had previously supplied undisclosed amounts of series B and C funding in 2012 and 2015 respectively.
Kai Desinger, president and chief executive of Fiagon, said: “We are excited to join the team at Intersect ENT, an established leader with an advanced therapeutic platform in the large and attractive global ENT market.
“The combination of Intersect ENT’s compelling product offerings coupled with its deep commercial leadership expertise and impressive sales force offers a unique opportunity for us to jointly leverage our core innovation and commercialization competencies.”