BioPharma, Health IT, Startups

RDMD raises $14M for rare disease real-world evidence generation

The San Francisco-based startup is one of several that have been raising money over the past couple of weeks in areas like neurology, oncology and women's health.

By Alaric DeArment on April 17, 2020

Despite the ongoing Covid-19 pandemic, many startup companies are continuing to close funding rounds to support their product-development and other efforts. The following is a list of companies that have announced fund raises over the past couple of weeks.

RefleXion Medical
Headquarters: Hayward, California
Amount raised: $100 million

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The company said Thursday that it had raised the money in an equity financing round led by PSP Investments, a Canadian pension investment manager. Existing investors KCK Group, Sofinnova Partners, Venrock, T. Rowe Price, TPG’s The Rise Fund, Pfizer Ventures and Johnson & Johnson Innovation, JJDC Inc. also participated. RefleXion, which is a therapeutic oncology company focused on biology-guided radiotherapy, or BgRT, will be used to validate the therapy’s practical implications, the company said.

RDMD
Headquarters: San Francisco
Amount raised: $14 million

A healthcare technology company focused on generating real-world evidence in rare diseases, RDMD said Thursday it raised $14 million in a Series A financing. The round was led by Spark Capital, with participation from existing seed investors Lux Capital, Village Global and Garuda Ventures, along with a new investor, Maveron Capital and angel investors. The money will go toward efforts like expansion into 20 new rare diseases and launching research studies about each of them, ensuring continuity of its programs during the Covid-19 pandemic, expanding and growing its partnerships with biopharmaceutical customers and patient organizations, expanding international capabilities and hiring new employees, including in senior roles.

Cerevance
Headquarters: Boston
Amount raised: $45 million

A company focused on developing drugs for neurological diseases, Cerevance said Tuesday that it raised $45 million in a Series B funding round. The round included new investors GV, Bill Gates and Foresite Capital, as well as existing investors like Takeda Ventures, the Dementia Discovery Fund and Lightstone Ventures. The company said it plans to use the money to find new therapeutic targets for central nervous system diseases like Alzheimer’s.

Dorsata
Headquarters: Arlington, Virginia
Amount raised: $5.2 million

Dorsata, whose aim is to improve outcomes among mothers and reduce maternity-related costs, said April 8 that it raised $5.2 million in a Series A round. Those funding the round included Women’s Health USA, QED Investors, LabCorp, Fool Ventures and Gore Range Capital. The company plans to use the funding to expand the presence of ACOG Prenatal Record, its maternity management system, to more electronic health record platforms.

Ferrum Health
Headquarters: San Francisco
Amount raised: $9 million

A company that develops information technology and artificial intelligence systems focused on patients safety for healthcare systems, Ferrum Health said April 9 that it had closed a $9 million Series Seed funding round. Blumberg Capital led the round, in which GSR, Vulcan Capital, Valley Capital Partners and an undisclosed strategic family office participated. The company’s technology is designed to use artificial intelligence algorithms to prevent medical errors and assist the review of radiology studies. Healthcare systems using it include Sutter Health, in northern California. Ferrum said it plans use the new funding to advance and refine its patient safety software, hire engineering staff and grow its sales and marketing capabilities.

Photo: Feodora Chiosea, Getty Images