Boomerang Medical Raises $20 Million Series B Financing

Boomerang Medical Inc. is more financially sound these days, having attracted $20 million in a Series B financing round co-led by Arboretum Ventures and Hatteras Venture Partners.

The Series B proceeds will advance BOOM-IBD2, the first pivotal trial of implantable neuromodulation in inflammatory bowel disease, with an initial focus on ulcerative colitis. The trial is currently enrolling patients at U.S. medical centers.

“There is a clear and significant unmet need for new approaches to help patients suffering from the debilitating symptoms of ulcerative colitis,” said Tom Shehab, M.D., gastroenterologist, managing partner at Arboretum Ventures and Boomerang Medical board member. “We are impressed with the Boomerang team and their approach to clinical development. We are confident this financing will position them well to complete their pivotal trial and move this promising therapy forward.”

Ulcerative colitis, the most common form of IBD, is a chronic autoimmune disease affecting millions of people in the United States and Europe, and there are no device-based options in this field. Boomerang Medical is evaluating whether a small implanted device that delivers gentle nerve stimulation, known as sacral neuromodulation, can help address symptom burden in ulcerative colitis. The company completed a 40-patient feasibility study in Crohn’s disease and ulcerative colitis, and those results informed the design of BOOM-IBD2, its pivotal trial in ulcerative colitis. Sacral neuromodulation itself has a long safety record in other conditions, with more than 500,000 procedures performed worldwide.

“Ulcerative colitis patients struggle with symptoms that profoundly affect their daily lives,” Boomerang Medical CEO Heather Simonsen stated. “Our pivotal trial asks a simple but critical question: can this therapy meaningfully reduce symptom burden and improve quality of life for people living with ulcerative colitis? With the continued support of our investors, we’re pursuing that answer for patients and their physicians.”

The Crohn’s & Colitis Foundation named Boomerang Medical its “Emerging Leader in IBD”—the first medical device company to receive this recognition.

Boomerang Medical is a women-led bioelectronic medicine company on a mission to disrupt autoimmune disease treatment. Headquartered on the campus of El Camino Hospital in Mountain View, Calif., the firm is a Company-In-Residence at Fogarty Innovation, the only healthcare-focused incubator of its kind in the United States.

Founded in 2002, Arboretum Ventures manages more than $1 billion in healthcare venture capital from its Ann Arbor, Mich., base. The firm focuses on medical devices and healthcare services that address significant unmet needs. Portfolio companies have achieved multiple strategic exits to industry leaders.

Founded in 2000, Hatteras Venture Partners has invested in more than 100 healthcare companies from its Research Triangle Park, N.C., headquarters. The firm recently raised more than $200 million across two healthcare-focused funds.