Edina-based Relievant Medsystems, the maker of a system used to treat chronic low back pain, has raised $50 million in a Series G round of funding, signaling the company's eighth capital raise since its formation in 2006.
The latest round was led by new investor New York City-based Ally Bridge Group. Existing investor Vensana Capital, headquartered in Edina, increased its stake in the company as well, as did other existing investment firms.
Relievant Medsystems' device, Intracept Procedure, treats chronic back pain by using radio-frequency energy to stop the transmission of pain signals to the brain from a specific nerve within the vertebra. The outpatient back procedure lasts about an hour with patients sent home the same day.
The company, which relocated to Minnesota from California in 2018 and employs more than 130 people, has raised more than $250 million in equity financing so far, including a $70 million raise in 2020.
Kevin Reilly, a managing director at Ally Bridge Group, said his firm has been impressed with Relievant Medsystems' traction within the chronic low back pain solution industry, a market that impacts over 30 million Americans.
The fresh capital will be used to expand availability of the Intracept to more patients and physicians, the company's chief executive said in a statement. The system has been in commercial use since 2018 with more than 5,000 Intracept procedures completed in the U.S.
"This substantial additional funding allows us to further accelerate our efforts to transform the diagnosis and treatment of vertebrogenic pain," Tyler Binney said.