Friday, August 1, 2008

AugmentRx seeks animal testing funds for incontinence treatment

AugmentRx Medical Inc.
Headquarters: Shelburne, Vt.
Employees: 7
Founded: 2005
Web: N/A
E-mail: stuartkjsmyth@aol.com
Phone: 617-755-0576
The Pitch: AugmentRx is seeking private capital to conduct large animal testing for its incontinence treatment.

PITCHING THE TECHNOLOGY
AugmentRx’s product is an injectable, non-migratory tissue-bulking agent intended to treat urinary and fecal incontinence. The company said its product is bioinert, nonantigenic, and minimally invasive. The procedure would take place in a physician’s office, and could be performed in a matter of minutes, the company said. Multiple injections and invasive surgery, which can increase costs and risks to the patient, would be unnecessary with AugmentRx’s treatment, the company said.

The company, which has been self-funded thus far, is seeking capital to finance animal testing for its product. AugmentRx plans to launch its website in September.

PITCHING THE PEOPLE
Who is on the management team? Stuart Smyth, CEO, formerly of female surgical contraceptive device maker Avalon Medical Corp., and a former appointee to a National Institutes of Health advisory panel.

Have executives been involved in a cashout prior to this venture? Yes, Avalon was sold to CooperSurgical Inc. in 2003.

Who is on the board of advisers? Anthony Atala, the chair of the department of urology at Wake Forest University; as well as James Yoo, an associate professor at Wake Forest University’s Institute for Regenerative Medicine.

PITCHING THE BUSINESS
How much investment is being sought? AugmentRx is seeking $3.5 million in equity financing.

What partnerships, collaborations or affiliations are already in place? None.

List any federal or state grants, contracts or awards received: AugmentRx said it plans to be a presenter at the Medtech Insight “Investment In Innovation” (In3) East event in Boston in October, and is pursuing a grant from the National Institutes of Health.

What’s the market size being pursued? AugmentRx officials estimated the market for fecal and urinary incontinence treatments at more than $1 billion a year. 

Who are the likely competitors, direct or indirect? AugmentRx lists its competitors as CR Bard Inc., Boston Scientific Corp. and Uroplasty Inc.

Is the company profitable? No.