Israeli digital health and mobile health solutions developer DarioHealth Corp. (Nasdaq: DRIO) (formerly Labstyle Innovations) has raised $5.1 million in a private placement. DarioHealth closed on $3.1 million of the transaction while $2 million more of gross proceeds are subject to shareholder approval per Nasdaq rules. The company has developed a mobile blood glucose monitoring platform.
The deal was led by OurCrowd Qure, a dedicated digital health fund that invested $2.5 million of the $5.1 million. Current investors of Caesarea-based DarioHealth also participated in the current round indicating the strong support and belief in the company's strategy moving forward. OurCrowd Qure was granted two board seats, which will be selected and announced at a later date. Funding will be used to accelerate adoption across existing markets and into new geographies such as Germany in 2017.
DarioHealth chairman and CEO Erez Raphael said, "We have received great support and belief in our product, vision, and growth strategy from investors. With this funding, we will accelerate adoption of our innovative and user-friendly remote glucose monitor platform across current markets and also expand into new geographies, such as Germany, in 2017."
OurCrowd Qure managing partner Allen Kamer said, "We are highly impressed with DarioHealth's mobile blood glucose monitoring platform. The solution offers a unique user experience approach combined with personalized disease management tools. Dario's global footprint and direct to consumer expansion strategy offer significant growth potential and truly disrupts current healthcare delivery."
Dario Health was represented by Advs. Oded Har Even, Robert Condon and Ron Ben-Bassat from ZAG-S&W (Zysman, Aharoni, Gayer & Co.).
Published by Globes [online], Israel business news - www.globes-online.com - on January 12, 2017
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