Gradient Denervation Technologies Closes €14 Million Series A Round

Gradient Denervation Technologies is €14 million richer these days, having closed a Series A financing round that will support ongoing clinical development and evaluation of its ultrasound-based catheter device.

Asabys Partners led the funding round through its new fund Sabadell Asabys II and was joined by Thuja Capital and founding investor Sofinnova Partners. Gradient was established in 2020 through a €3.5 million seed financing from Sofinnova MD Start, the venture capital firm’s dedicated medtech accelerator.

“I’m very happy to welcome Asabys Partners and Thuja Capital to the Gradient team. In addition to capital, these investors bring deep expertise and thought partnership to Gradient as we seek to bring our technology to patients,” Gradient CEO Martin Grasse said.

Headquartered in Paris, the company is founded on cutting-edge innovation developed by Drs. Swaminadhan Gnanashanmugam and Jeffrey Feinstein at the Stanford Biodesign Program. The company initiated a first-in-human clinical study earlier this year.

“Gradient’s technology has the potential to become a first-in-class treatment for patients suffering from heart failure and elevated pulmonary pressures. The company is ready to prove the concept of its technology in the clinic, and we look forward to joining the management in this exciting journey,” stated Sylvain Sachot, a partner at Asabys Partners.
 
Gradient’s technology aims to treat patients with pulmonary hypertension by reducing sympathetic input into the pulmonary vasculature. The company’s initial focus is the Group 2 pulmonary hypertension patient population, which consists of patients with heart failure and associated high pulmonary vascular resistance. Up to 50% of heart failure patients have this debilitating condition, resulting in a large patient population with no approved therapies. Gradient’s minimally invasive device, designed for use in the pulmonary arteries, harnesses therapeutic ultrasound energy to perform the denervation procedure.

“Gradient has the potential to significantly improve the care of patients with pulmonary hypertension due to left heart disease, a patient group with a substantial need for better treatment solutions. We are excited to support the team as they pursue this mission,” Thuja Capital Partner Evan Castiglia said.
 
“Our continued support for Gradient underscores Sofinnova’s mission of backing world-class innovation,” added Mano Iyer, a venture partner at Sofinnova Partners. “The transformative potential we saw in Gradient’s technology at the outset is increasingly apparent, reinforcing our early conviction. We are excited to work with an expanded investor base to make this technology available for all patients with heart failure and pulmonary hypertension.”
 
Gradient Denervation Technologies has developed a minimally invasive device for treating pulmonary hypertension. Gradient leverages intellectual property developed at Stanford University and has been incubated since 2020 by Sofinnova MD Start, a Paris-based medtech accelerator that actively works with clinicians and entrepreneurs to develop disruptive medical devices. The Gradient device is for investigational use only and is not approved for commercial use. 
 
Asabys Partners is a venture capital firm specializing in the healthcare sector, founded in 2018 by Josep Ll. Sanfeliu and Clara Campàs, participated by Alantra and with the support of Banc Sabadell as anchor investor. With close to €217 million in AUM and 15 portfolio companies (one exit), Asabys invests in innovative and disruptive companies covering unmet medical needs in the biopharma and healthtech verticals. The firm’s investment in the company comes from its vehicles Sabadell Asabys Health Innovation Investments II, FCR and Sabadell Asabys Health Innovation Investments 2B, SCR SA. This operation benefits from the support of the European Union under the InvestEU Fund.
 
Thuja Capital Management (Thuja Capital) manages several venture capital funds aimed at building and scaling companies in (bio)pharmaceuticals, medtech and digital health. Thuja serves physicians and patients worldwide by providing capital and support to daring entrepreneurs with product concepts. 

Sofinnova Partners is a European venture capital firm in life sciences, specializing in healthcare and sustainability. Based in Paris, London and Milan, the firm employs professionals with strong scientific, medical, and business expertise. Sofinnova Partners is a hands-on company builder across the entire value chain of life sciences investments, from seed to later-stage. The firm actively partners with entrepreneurs as a lead or cornerstone investor to develop innovations that can potentially positively impact the future.
Founded in 1972, Sofinnova Partners has backed more than 500 companies and currently has over €2.5 billion under management.