Runway Growth Capital Announces a Senior Secured Term Loan of $50 Million to Gynesonics
WOODSIDE, Calif., Jan. 12, 2021 /PRNewswire/ -- Runway Growth Capital LLC (“Runway”), a leading provider of growth loans to both venture and non-venture backed companies seeking an alternative to raising equity, announced today the closing of a senior secured term loan of $50 million to Gynesonics, a healthcare company focused on advancing women’s health by developing minimally invasive, incision-free, uterus-preserving, transcervical technologies for diagnostic and therapeutic applications.
Gynesonics has developed and has received FDA clearance for the Sonata® System, the world’s first and only system that combines real-time intrauterine ultrasound guidance with targeted radiofrequency ablation (RFA), offering a 100% incision-free, uterus preserving, outpatient procedure to treat a variety of different uterine fibroid types. This state-of-the-art technology provides women with a breakthrough alternative to hysterectomy or myomectomy (invasive surgical procedures), providing for a safe and effective uterus-preserving treatment.
“Gynesonics’ approach to treating fibroids is game-changing in the women’s healthcare space,” says Rob Lake, Managing Director and Head of Life Sciences at Runway. “The current standard of care for treating symptomatic fibroids is far more invasive, requiring a myomectomy or in worst cases, a hysterectomy. Sonata’s minimally invasive approach and intrauterine ultrasound capabilities have the potential to change how fibroids are treated and reshape how we approach intrauterine health.”
“We’ve developed a long-standing and productive relationship with the Runway team that is built on trust and a keen understanding of the women’s health space,” said Chris Owens, President and CEO, Gynesonics. “Runway’s strategic support will be vital to the full-scale global commercial launch of our intrauterine ultrasound technology in 2021 and beyond. Our Sonata procedure has been long sought out in the market, and with the support of Runway and our top tier investor group, we’ll look to increase access to our disruptive technology and accelerate adoption.”
According to Johns Hopkins Medicine, an estimated 20% to 50% of women of reproductive age currently have fibroids, and up to 77% of women will develop fibroids sometime during their childbearing years, fueling significant demand for Gynesonics’ technology. Gynesonics has secured health insurance coverage for more than 60 million covered lives and expects to exceed 100 million covered lives in 2021, due in part to Gynesonics’ body of clinical evidence supporting Sonata’s safety and efficacy.
“We are ecstatic to add Gynesonics to Runway’s portfolio of innovative life sciences companies. This $50 million loan will provide a key resource to help Gynesonics to achieve its goals,” Lake added.
About Runway Growth Capital LLC
Runway Growth Capital LLC is the investment advisor to investment funds, including Runway Growth Credit Fund Inc., which are lenders of growth capital to companies seeking an alternative to raising equity. Led by industry veteran David Spreng, these funds provide senior term loans of $10 million to $50 million to fast-growing companies based in the United States and Canada. For more information on Runway Growth Capital LLC and its platform, please visit our website at www.runwaygrowth.com.
About Sonata System
The Sonata System uses radiofrequency energy to ablate fibroids under real time intrauterine sonography guidance. The Sonata System, including the SMART Guide, enables the operator to target fibroids and optimize ablations within them. The Sonata system’s design provides a straightforward, transcervical access for a uterus-preserving, incision-free fibroid treatment. This intrauterine approach is designed to avoid the peritoneal cavity. The Sonata System is CE marked and is approved for sale in the European Union and the United States.
Gynesonics is a women’s healthcare company focused on advancing women’s health, by developing minimally invasive, incision-free, uterus-preserving, transcervical technologies for diagnostic and therapeutic applications. Gynesonics has developed the Sonata System for diagnostic intrauterine imaging and transcervical treatment of symptomatic uterine fibroids. Gynesonics headquarters is in Redwood City, CA. For more information, visit www.gynesonics.com.
Statements included herein may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition, or results and involve a number of risks and uncertainties, including the impact of COVID-19 and related changes in base interest rates and significant market volatility on our business, our portfolio companies, our industry, and the global economy. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in filings with the Securities and Exchange Commission made by funds that Runway manages. Runway undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.
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SOURCE Runway Growth Capital LLC