EDINA, Minnesota — Orasi Medical, a software company developing a test to better diagnose Alzheimer’s disease, announced Wednesday it raised $3.5 million to continue to expand its product.
The Minnesota-based company did not state who funded this second-round of private equity. In October 2007, Prairie Gold Venture Partners and Centre Stone Ventures were part of a $2.4 million round.
Red Herring recently named Orasi one of North America’s most promising tech companies. Its software analyzes a Magnetoencephalography scan, which measures the magnetic field produced by the brain’s electrical activity, and provides a diagnosis based on the scan.
Orasi’s primary market is diagnosing the advance of Alzheimer’s, but the company says the process can also measure the effect of neurological treatments. This second round of funding will expand the development and use of the test how well compounds treat neurological diseases, according to its press release. Orasi is in negotiations with several pharmaceutical companies, it stated.
Orasi had sought up to $8.75 million in its Series B round, according to a filing with the Securities and Exchange Commission. The $3.5 million it raised was the minimum for the offering, according to the filing. “In light of the difficult financial markets today we are very pleased with investor response to the Orasi offering,” Orasi’s Chief Executive Officer Shawn Lyndon stated in his company’s release.
