Carticept Completes New Round of Funding

Carticept Medical Inc. has completed a $10 million round of financing, led by a group of the firm’s existing investors, including Domain Associates, New Enterprise Associates and SonoSite Inc. The financing will provide funding for the commercial launch of the company’s Navigator Delivery System a computer-controlled drug delivery system that redefines medication delivery by integrating ultrasound guidance to increase the efficiency, accuracy and safety of administering medications for joint pain.

In September, Carticept received 510(k) clearance from the U.S. Food and Drug Administration to market the device, with the full commercial launch slated for the first quarter of this year. The latest round of financing increases the venture capital investment in Carticept to $53 million.

Arthritis is the leading cause of disability in the United States with more than 46 million Americans having doctor-diagnosed arthritis, according to the National Center for Chronic Disease Prevention and Health Promotion. Local injections of corticosteroids and anesthetic agents are heavily relied on as early, effective interventions for pain relief. The current standard of practice, “blind injection,” depends on the expertise of the clinician and the accuracy with which the medications are injected into the affected joint space. According to a recent study published in the American Journal of Sports Medicine, injection accuracy rates are significantly higher when imaging is used in conjunction with injection of the knee and shoulder.

According to Carticept, the Navigator DS automates the preparation and delivery of injections using ultrasound to guide accurate needle positioning. The automated system is designed to help accurate dose preparation, while eliminating needle exposure to healthcare workers and minimizing the potential for contamination. After the injection is delivered, the system records the treatment data and automatically creates a record for transfer to an electronic record management system.

“The support of our existing investors validates the investment community’s continued confidence in the vision of the company and the benefits of our product platform to improve the efficiency and accuracy of injection delivery,” said Timothy J. Patrick, president and CEO of Carticept. “With the completion of this financing, we are well positioned to launch the Navigator DS in leading orthopeedic and sports medicine centers across the United States.”

Based in Alpharetta, Ga., just outside of Atlanta, Carticept Medical was founded in 2005.