Ictero Medical Closes $6 Million Series A Financing

Ictero Medical Inc. has raised an oversubscribed $6 million in Series A financing, led by MedTex Ventures, S3 Ventures, and an undisclosed strategic investor. The funding will be used to continue product development and complete initial clinical testing.
 
While more than 1 million U.S. patients annually undergoing surgical removal of their gallbladder to treat symptomatic gallstones, there remains a large, underserved segment of high-risk patients that would benefit from an alternative to surgery. Ictero’s technology leverages existing interventional techniques to deliver cryoablation therapy to effectively defunctionalize the gallbladder without the need to remove it. “Our technology provides an immediate solution for critically ill patients who currently have no good treatment options, and also has the potential to benefit healthier patients who want to avoid surgery,” Ictero Co-Founder and CEO, Matthew Nojoomi said.
 
To accelerate product development and clinical activities toward regulatory clearance, Ictero Medical recently launched a partnership with Biotex Inc., a Houston-based medical device development firm. The partnership provides Ictero with engineering resources and in-house manufacturing capabilities, as well as capital support from MedTex Ventures through its Biotex Medical Device Fund. “We are excited about working with the Ictero team to advance its technology, which we believe can significantly improve patient experiences and outcomes by providing a non-surgical alternative to treating gallbladder disease,” Biotex CEO Ashok Gowda said.
 
“MedTex Ventures is enthusiastic about Ictero’s novel cryoablation technology and its potential to solve the unmet need of inoperable patients with gallbladder disease,” said John Fichthorn, CIO of MedTex Ventures. “Equally important is the team. We believe the combination of Ictero and Biotex’s technical capabilities, alongside the support from key investors with commercial experience, such as S3 Ventures, position the company for long term success.”
 
“Ictero is at the forefront of pioneering cryotherapy for gallstone disease, and S3 Ventures is excited about the potential for Ictero’s novel solution to rapidly bring an impactful outcome to patients,” commented Kim Rodriguez, venture partner at S3. “Our research suggests a substantial opportunity to help patients suffering from gallstone disease who are dependent on drainage catheters or too sick for surgery. We are joining a solid investment syndicate in supporting a very capable team.”
 
Ictero Medical was founded in 2018 as part of the Texas Medical Center’s Biodesign Fellowship program and is developing the first cryoablation system to treat high-risk patients with gallstone disease. Ictero’s catheter-based technology can be used in the interventional radiology suite to treat the gallbladder without having to remove it, ultimately allowing clinicians to offer their patients the benefits of surgery without the risk. Previous funding support includes a Phase I NSF grant and a $1 million seed round co-led by the Texas Medical Center Venture Fund and Texas HALO Fund. 
 
MedTex Ventures is a venture capital firm focused on early-stage medical devices. The team consists of expert investors with diverse backgrounds representing the buy-side, sell-side, and medical device industry. The firm has created the Biotex Medical Device Fund and partnered with Biotex Inc. to help source, analyze, develop, finance and manage medical device companies. 

Biotex is a product development firm and medtech manufacturer. Located adjacent to Texas Medical Center, Biotex employs a team of more than 50 engineers and specialists with expertise in medical device development, manufacturing, regulatory clearance, and commercialization. Biotex also serves as a supplier and contract manufacturer to several industry-leading medical device companies. 
 
With $900 million in assets under management, S3 Ventures is the largest venture capital firm focused on Texas. Backed by a philanthropic, multi-billion-dollar family for more than 17 years, the company has empowered entrepreneurs with the patient capital and true resources required to grow high-impact firms in business technology, consumer digital experiences, and healthcare technology. 
 
The Texas Medical Center Venture Fund (TMCVF) is the venture capital arm of the TMC, the largest medical center in the world. TMCVF serves health, education, and research needs of Texas by partnering with entrepreneurs through investment in their companies, supporting their strategic and operational needs, and helping them gain access and connectivity to the member institutions at the TMC.