Tuesday, May 17, 2011

The Pitch

Perfusion Technology looks to bring brain tumor ultrasound to market

By Lynette F. Cornell

Perfusion Technology LLC
Headquarters: Andover
Phone: 617-834-7420
Email: akyle@perfusiontechnology.com
Founded: 2003
Employees: 2

In the company’s own words:
“We aim to provide hope for tens of thousands of people who suffer from malignant brain tumors. Today, this diagnosis means a short life expectancy with limited therapeutic options, primarily consisting of surgery and whole brain radiation therapy. Our approach is to treat the penumbra of the brain tumor with non-invasive ultrasound, in order to deliver IV-administered therapeutics to the healthy tissue surrounding the tumor.”

About the technology:
Perfusion Technology has developed an ultrasound system that uses a headset with ultrasound transducers directed at the penumbra, the region surrounding the tumor, in order to penetrate the blood brain barrier (BBB) and allow the delivery of drugs to the healthy brain tissue. The system is designed to address the challenges of treating malignant brain tumors, which are difficult to reach because of the cancerous cells that have migrated away from the bulk tumor and can neither be removed surgically nor accessed by most therapeutics. The low intensity, unfocused ultrasound penetration is noninvasive and reversible, allowing for the procedure to be conducted in an outpatient setting for regular drug infusion treatments. The sales price for the disposable elements of the device is $200 per use with a rate of two disposables per treatment and a system sales price of $50,000.

People behind the company:
Al Kyle is president and CEO of Perfusion Technology. He has founded three medical device startups, including StatVideo LLC that is currently marketing the EchoBox, a specialized video conferencing system for transmitting real-time echocardiography images over the web. He was also general manager of Hewlett Packard Co.’s ultrasound business and a captain in the U.S. Marines. Ulrich Herken, founder and chief scientific officer, was director of research and development and chief scientist for two medical device startups. He also serves as director of clinical affairs at Zoll Medical Inc.

The pitch:
The company is seeking $500,000 to complete pre-clinical testing and prepare to begin clinical trials. The company is also seeking business partners who can help the company complete the preclinical phase and prepare to enter the clinic. The company currently has a research collaboration partnership with New Haven, Conn.-based Rx-Gen Inc.

The market:
The initial market is 10,000 patients with primary brain tumors. The expanded market includes metastatic tumors with approximately 155,000 to 200,000 affected patients. The total addressable market is worth $1.65 billion in the United States, according to Kyle. The company is targeting this market because it has limited therapeutic options and a wide array of approved drugs for use via a drug-device delivery approach, said Kyle.

The competition:
According to Kyle, the company faces competition primarily from Medtronic Inc. and Cambridge-based Alnylam Pharmaceuticals Inc., who are collaborating on a clinical trial for convection-enhanced delivery of therapeutics. Insightec Ltd., an ultrasound technology company in Israel, is also developing a magnetic resonance guided focused ultrasound system for treatment of the brain.