G-Tech Medical completes $6.7m Series A financing

RNS Number : 2918R

NetScientific PLC

29 June 2020

 

NetScientific plc

("NetScientific" or the "Company")

This announcement contains inside information for the purposes of Article 7 of Regulation 596/2014.

G - Tech Medical, Inc. ("G - Tech") announces completion of $6.7m Series A financing round led by DigiTx Partners

NetScientific plc (AIM:NSCI), the transatlantic healthcare IP commercialisation group, announces that its venture portfolio company G - Tech Medical ("G - Tech") today announced the completion of $6.7m Series A financing round led by DigiTx Partners.

NetScientific held a convertible loan note of $250,000, together with accrued interest, that had previously been fully impaired to £Nil. As part of the Series A financing the convertible loan note and interest converted to Series A Preferred Shares and Common Form Convertibles with a fair value, based on the financing round, in excess of £400,000. NetScientific now holds 3.8% of G - Tech's fully diluted share capital.

G - Tech is developing a wearable medical technology that will be used to measure gastrointestinal motility.

Dr Iliev (Interim CEO of NetScientific) commented:

"This is a further example of the value lying in the NetScientific portfolio following the successful funding rounds in CytoVale, Inc., which in December 2019 raised $15 million in financing, for technology enabling early sepsis detection in the emergency department, valuing NetScientific's interest, which had previously been written off, at £380,000; andEpibone, Inc., which in January 2020 raised a $8 million series seed round, at which point NetScientific converted a convertible loan note of $250,000 plus interest into an equity investment valued at £324,000."

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About G - Tech Medical, Inc.

G-Tech is developing a wearable medical technology that will be used to measure gastrointestinal (GI) motility. The G-Tech system will consist of wireless, wearable electrode patches that read electrical signals at the skin surface, a smartphone app that collects the raw data from the patches via Bluetooth LE and sends it to a cloud server, and data analysis algorithms that process and quantify the motor activity of the digestive organs. The system is currently under development.

The patches will be conforming, water resistant, thin, light and completely non-invasive. Although wearable and smartphone connected, the G-Tech system will be a medical device that will be used under the supervision of physicians rather than a consumer item. 

G-Tech's Patch System will be focused on meeting market driven and clinical needs to create a new standard of care that both dramatically improves outcomes and reduces costs associated with GI conditions. The system will have the potential to transform care for patients, providers and institutions. For further information see www.gtechmedical.com .

About DigiTx Partners

DigiTx Partners invests in and supports early to growth stage startup companies in the digital health space. We seek out innovative founders and leaders who are driving change across healthcare and life sciences ​through technology and meaningful data. For further information see https://www.digitxpartners.com

About CytoVale, Inc.

CytoVale is developing mechanical biomarkers to improve human health through probing individual cells to quantify the mechanical signatures of disease. The first target is sepsis, a condition whose early detection dramatically improves patient outcomes and reduces treatment cost, where CytoVale has enrolled a multi-hundred patient clinical study, which has the potential to significantly reduce morbidity and mortality, decrease healthcare costs, and satisfy a $1B+ diagnostic market. For further information see http://cytovale.com.

About Epibone, Inc.

EpiBone is a revolutionary bone reconstruction company that allows patients to "grow their own bone". EpiBone's pioneering technology utilizes a scan of the patient's bone defect and the patient's own stem cells to construct and cultivate a defect-specific autologous-like living bone graft. EpiBone is strategically positioned to provide a superior bone graft that will provide exact defect repair, a simplified surgical procedure, improved bone formation and regeneration, and shorter recovery times, without the complications of foreign body implantation, to the over 900,000 patients who undergo bone-related surgeries each year. For further information see https://www.epibone.com.

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The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Following the publication of this announcement, this inside information is now considered to be in the public domain.

For more information, please contact:

NetScientific 

Ilian Iliev, CEO  Tel: [phone]

WH Ireland (NOMAD, Financial Adviser and Broker)

Chris Fielding / Darshan Patel  Tel: [phone]

MO PR ADVISORY (Press Contact)

Mo Noonan  Tel: [phone]

About NetScientific

NetScientific PLC is a transatlantic healthcare IP commercialisation Group focused on technologies and companies that have the potential to treat chronic disease and significantly improve the health and well-being of people.

For more information, please visit the website at    www.NetScientific.net

 

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