EndoGastric Solutions (EGS), a San Mateo, California-based provider of endoluminal reconstructive treatment for gastroesophageal reflux disease (GERD)*, raised $30m in Series G financing.
Backers included existing investors Advanced Technology Ventures, Canaan Partners, Chicago Growth Partners, De Novo Ventures, Foundation Medical Partners, Oakwood Medical Investors and Radius Ventures.
The company intends to use the funds to activities in support of publishing data from three randomized trials, bring new products to market, and establish clear reimbursement for its technology.
Led by Skip Baldino, President and CEO, EndoGastric Solutions combines concepts in gastroenterology and surgery to develop products and procedures that address unmet needs in gastrointestinal diseases. Its EsophyX device was FDA cleared in 2007, and is commercially available in the United States. Inserted transorally with visual guidance from an endoscope, the EsophyX device is used in the TIF procedure to reconstruct the gastroesophageal valve (GEV), restoring its competency and reestablishing the barrier to reflux.
*Gastroesophageal Reflux Disease (GERD) is a condition caused by anatomical changes where the muscle at the base of the esophagus relaxes between swallows, allowing corrosive stomach acid to wash back up into the esophagus. The stomach produces hydrochloric acid after a meal to aid in the digestion of food. The cells that line the stomach consists of protective mucus that protect it from erosion, but the lining of the esophagus does not share these resistant features and stomach acid can damage it. GERD is the most common gastrointestinal-related diagnosis given by physicians during clinical visits in the U.S. It is estimated that pain and discomfort from acid reflux impacts over 23 million people two or more times per week in the U.S. The standard recommendations for symptomatic GERD patients include lifestyle changes (e.g. diet, scheduled eating times, and sleeping positions) and escalating doses of prescription medications for prolonged periods of time. Long-term, maximum dose usage of prescription medications has been linked to a variety of other health complications. Patients implement these recommendations trying to manage their symptoms and the quality of their lives becomes negatively impacted by these recommendations.