HOUSTON, Oct. 5, 2011 /PRNewswire/ -- Cyberonics, Inc. (NASDAQ: CYBX), a global leader in medical devices for the treatment and management of epilepsy, today announced an initial investment of $4 million in ImThera Medical, Inc. ("ImThera"). Based in San Diego, California, ImThera is an early-stage company developing a novel, implantable neurostimulation device for the treatment of obstructive sleep apnea ("OSA").
The investment in ImThera can total $12 million subject to the achievement of certain regulatory and clinical milestones. Cyberonics is a minority shareholder with certain rights, including representation on ImThera's board of directors. In addition, ImThera will raise up to $4 million from its private investors, for a total Series C placement of up to $16 million.
OSA is a serious, potentially life-threatening condition associated with significant long-term health problems and accompanying costs. ImThera's Targeted Hypoglossal Neurostimulation (THN) Sleep Therapy combines a multi-contact electrode specifically designed to control certain muscles of the tongue with an implantable pulse generator and an external programmer. The company is currently pursuing CE Mark regulatory approval in the European Union and expects to initiate a pivotal clinical trial in the U.S. in the near future.
"OSA affects millions of people in the U.S. and around the world," said Dan Moore, Cyberonics' President and Chief Executive Officer. "We are excited about the opportunity to invest in a promising new therapeutic neurostimulation technology outside our core business."
"ImThera is pleased to have Cyberonics as an investor and partner. Cyberonics brings outstanding experience to our board, providing significant expertise to ImThera as we continue to execute our plan," stated Marcelo Lima, ImThera's Chairman, President and Ch
|SOURCE Cyberonics, Inc.|
Copyright©2010 PR Newswire.
All rights reserved