A company that’s developing MRI-based technology to deliver radiation therapy to cancer patients has closed the last tranche of a $45 million series C round of investment as it nears commercialization.
Cleveland-area ViewRay is preparing for market launch. The company’s imaging and radiotherapy-delivery system is awaiting 510(k) regulatory clearance by the U.S. Food and Drug Administration, according to a statement from ViewRay.
The latest tranche of funding consisted of $16 million, ViewRay chief financial officer David Chandler told Crain’s Cleveland Business. The company plans to use the funding to beef up its sales and marketing in anticipation of its product launch.
Barnes-Jewish Hospital in St. Louis, Missouri is in the final stages of installing ViewRay’s system, which it’ll use for research work until the system is cleared by the FDA.
ViewRay says its technology helps doctors see exactly where radiation is being delivered to a cancer patient’s body, unlike existing technology, which doesn’t account for the movement of internal organs. That movement can cause radiation to be delivered to healthy issue and lead to harmful side effects. The company’s technology aims to solve that problem by providing continuous soft-tissue imaging for more accurate delivery of radiation therapy.
ViewRay’s technology was invented by a radiation oncology researcher from the University of Florida. The company moved to Oakwood Village in suburban Cleveland from Florida in 2008, lured both by the region’s imaging talent and tax incentives. The state gave the company job-creation tax credits worth about $537,000 over the subsequent 10 years.
ViewRay’s investors include Aisling Capital, Fidelity Biosciences, Kearny Venture Partners, OrbiMed Advisors and Siemens Venture Capital.
ViewRay generally keeps a low profile, which may be due in part to Siemens’ equity stake in the company. Siemens would seem a logical candidate to acquire ViewRay at some point after the Cleveland company’s technology gets FDA clearance.
[Photo from flickr user erat]