Newronika raises an €8.4 m series-A round

For immediate release – September 25, 2019

Newronika, a spin-off of world-class neurological research center Policlinico of Milan and University of Milan, has raised an 8.4 million Euros Series-A round. The investment was led by French venture capital fund Omnes together with existing investors Innogest and Indaco Venture Partners SGR (“Indaco SGR”) on behalf of Indaco Ventures I and Atlante Ventures funds. F3F and an undisclosed family office also participated in the syndication.

Newronika has developed a closed-loop system for Deep Brain Stimulation (DBS), the first of its kind. The technology will be initially applied to Parkinson patients, although other indications will be pursued in the future. The round will allow Newronika to complete its first in man clinical study, obtain CE-Mark and FDA IDE.

“Newronika is the first company to develop a closed-loop system for the treatment of Parkinson’s disease. Newronika’s technology is at the forefront of Deep Brain Stimulation”, said Lorenzo Rossi, CEO of the company. “Our solution is most needed and awaited by the medical community since the invention of the first DBS system by Medtronic, more than 20 years ago. Our technology can record the electrical activity of the Deep Brain Nuclei and adapt the stimulation in real-time. This is a game-changer for the neurological field, opening many potential applications. We want to build a platform of indications where our technology could be used, from Parkinson’s disease to Traumatic Brain Injury and beyond”.

“This round puts Newronika straight in the global competition for DBS technology and turns our company into a player to be reckoned with”, commented Alain Garcinuño, Newronika’s CFO. “We are delighted to have secured the necessary funding to reach a clear value inflection point in the coming months”.

“We were very impressed by the compelling data generated by the company and we are proud to partner with Newronika’s team to advance this state-of-the art technology through the clinic. While Parkinson’s disease is the near-term therapy focus of the company, this innovative technology holds the promise of being applied in a range of neurological conditions”, said Claire Poulard, Associate, Omnes.

“We have supported Newronika since its early stage believing in the outstanding potential of its technology. The neuro-degenerative disorders are increasing, especially in the countries with higher rate of elderly people, thus representing an important social problem. The technology developed by Newronika will be crucial to identify solutions that can improve the quality of life of patients and their families”, said Davide Turco, Indaco SGR Managing Partner.

Innogest, among the first investors in Newronika, increased its investment to become the company’s largest shareholder. Claudio Rumazza, Partner of Innogest said, “When we invested in Newronika, the company was an academic spin-off with an innovative and unique technology strongly needed by the market; fast forward today, Newronika has developed an implantable device based on its closed loop technology and it is ready to start clinical validation to bring its solution to patients. We are proud to have played a relevant role building the company to this level”.