Home testing provider NovaSom Inc has closed $35 million in equity financing. Led by Safeguard Scientifics Inc with participation from existing investors including TPG Biotechnology II Fund and Quaker BioVentures, NovaSom will use the financing to fund growth, expand its leadership position in payor and provider markets, and develop additional innovations within the company’s proprietary NovaSom diagnostic medical device and cloud-based MediTrack Patient Management Portals.
"OSA is one of the most serious and underdiagnosed medical problems in our country," said Dr Richard Hassett, CEO of NovaSom. "The prevailing approach to diagnosing OSA using facility-based overnight sleep center studies is both costly and limited in its capacity to serve large numbers of patients. The company’s proprietary Home Sleep Test (HST) service is proven to be clinically equivalent to lab-based study for OSA detection."
"Safeguard’s capital, coupled with the continued financial and operational support of existing financial partners, are compelling endorsements of NovaSom and its demonstrated ability to deliver innovative solutions to sleep apnea patients, providers, and payors," stated Gerald Stone, CFO of NovaSom. "In addition, this financing enables us to accelerate growth to meet the needs of our rapidly growing physician and payor customer base. Our model empowers the primary care physician and consumer to achieve better cost and quality outcomes, consistent with the move to Accountable Care Organizations and the patient-centered medical home."