Sources inform ''Globes'' that medical device start-up Navotek Medical Ltd. has closed its first financing round, raising $5 million. The round was led by mid-tech fund Wanaka Capital Partners Mid-Tech Opportunity Fund LP, which invested $3 million and was joined by US medical device fund Bridge Investment Fund LP and a private investor.
Navotek is developing a system that will enable the precise location of tumors. The ability to mark the exact location of tumor enables a greater level of accuracy in radiotherapy and chemotherapy, so that as much as possible from the tumor can be removed while minimizing the damage to healthy tissue. This will also generate savings in time spent on radiation treatment, thereby increasing the output of hospital radiation rooms.
Navotek, which was founded by Syneron Medical Ltd. (Nasdaq: ELOS) chairman Dr. Shimon Eckhouse, will install a pilot version of its system at hospitals in Israel and the US over the coming months. The company's CEO is Giora Kornblau, a former Israel Air Force pilot and a graduate of the Talpiot project.
Wanaka managing partner Ronen Melnick said, "A mid-tech company, by our definition, is not one which targets a future market or a small market that is likely to grow significantly, but rather a market that has clear and stable growth. The risk we want to take is not 'will there be a market,' but solely 'is my product the best of all those on offer in this market.' Unfortunately, the market for cancer radiotherapy is stable and growing. We're improving on an existing process, not inventing one, so the regulatory approval process should be fairly brief and straightforward."
Published by Globes [online], Israel business news - www.globes.co.il - on July 25, 2007
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