NEW YORK, Feb. 5, 2007 (PRIME NEWSWIRE) -- Paradigm Spine, LLC announced today the completion of a $13.9 million Series D private placement. The investment round was led by an entity affiliated with HealthCor Management, LP (the "HealthCor Affiliate"), a New York-based investment management company focused principally on global healthcare and life sciences. The HealthCor Affiliate will receive a seat on the Board of Managers of Paradigm Spine.
The private placement was managed by Viscogliosi & Co, Inc., an investment bank founded by Viscogliosi Brothers, LLC ("VB"), a leading New York-based merchant banking firm specializing in the musculoskeletal / orthopedic sector.
Paradigm Spine, LLC is a leading provider of non-fusion stabilization technologies to the international spine community, with headquarters in New York and operating facilities in Germany. The Company was founded in 2004 by VB.
"Our successful Series D round reflects the confidence our investors have in our business plan and results to date," said Marc R. Viscogliosi, Chairman and CEO of Paradigm Spine, LLC. "Many of our Series D investors also participated in previous rounds," he added.
Jeff Lightcap, Senior Managing Director at the HealthCor Group, will join the Board of Paradigm Spine. Mr. Lightcap has extensive private equity experience working with companies to build long-term value.
Mr. Viscogliosi said, "We welcome both the investment and the partnership with the HealthCor team. Its unparalleled knowledge and insight in the healthcare and life sciences industry will provide enormous leadership and strategic benefits to the company."
"We are particularly excited about the investment in Paradigm Spine because of its innovative product portfolio and world-class management team," Mr. Lightcap said. "It is precisely the type of company we look to invest in, where management is capitalizing on the trend toward motion-preserving solutions in spine treatment by building upon a proven technology platform."
Mr. Lightcap becomes the sixth member of Paradigm Spine's world-class Board of Managers, joining Marc R. Viscogliosi and his brother Anthony G. Viscogliosi, co-founder of Paradigm Spine, Chairman and CEO of Small Bone Innovations, venture capitalist, entrepreneur and an authority on the orthopedic and musculoskeletal sector. Other members are: Arthur Steffee, MD, retired orthopedic surgeon and inventor, former Chairman of Orthopedic Surgery at St. Vincent's Hospital in Cleveland, Ohio, and founder of AcroMed Corporation (sold to DuPuy Inc.); John C. Moran, founder and President of the Spinal Implant Division of Synthes Spine and now a private investor and member of numerous boards; and James Pastena, former President and CEO of the EBI subsidiary of Biomet, Inc.
In addition to the investment by the HealthCor Affiliate, the Series D round managed by Viscogliosi & Co, Inc. includes prominent spine and orthopedic surgeons and other industry leaders familiar with Paradigm Spine.
The proceeds will be used to drive further international expansion of the coflex(tm) technology, fund the Company's U.S. clinical trials of the coflex(tm) device and the Orthobiom(tm) system, and to expand Paradigm Spine's technology portfolio through organic product development or further acquisitions of spine non-fusion technologies and intellectual property.
This is the fourth financing round for Paradigm Spine, LLC. Collectively the Company has raised over $43 million, including over $33 million in cash and $10 million in foundational assets and IP contributed by VB.
About Paradigm Spine, LLC
Paradigm Spine is a company focused on providing indication specific posterior non-fusion solutions for orthopedic spine surgeons and neurosurgeons focused on treating spinal conditions and diseases.
The company's founding philosophy is "Surgeon Centric, Indication Specific, Data Driven," and focuses on providing the best clinical outcomes for patients suffering from chronic back pain. The Company has 38 employees at its New York headquarters and office in Wurmlingen, Germany, including a 7-member direct sales force in Germany.
The company is concentrating on building a multi-product non-fusion portfolio. The company's signature product is the coflex(tm) posterior, non-fusion interspinous dynamically-functional implant. The company has commenced a multi-center IDE clinical trial of the coflex(tm) implant in the United States.
Paradigm Spine's other core platform is the Orthobiom(tm) technology, which has been in development for over a decade. The Orthobiom(tm) technology treats adolescent idiopathic scoliosis, a condition that causes severe curvature of the spine that can be corrected surgically through a spinal fusion procedure. The Orthobiom(tm) system is a non-fusion alternative designed to preserve the motion and growth of the child's spine. It is regarded as a revolutionary product with the potential to help the tens of thousands of children diagnosed annually with scoliosis.
Paradigm Spine, LLC was founded in 2004 by VB. Established by Marc R. Viscogliosi, John J. Viscogliosi and Anthony G. Viscogliosi in New York City in 1999, VB is the first venture capital/private equity and merchant banking firm dedicated to the $26.4 billion musculoskeletal/orthopedics device sector of the health care industry.
Today, VB is a leading independent firm, with a mission to create, build and finance companies founded on innovations developed by surgeons and uniquely focused on "life-changing" musculoskeletal/orthopedic technologies. VB has worldwide surgeon, industry and trade relationships and significant financial expertise in the musculoskeletal/orthopedic sector.
For more, visit: www.paradigmspine.com
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