Startup investments company Xenia Venture Capital Ltd. (TASE:XENA) has announced a $10 million financing round for Ninox Medical, its portfolio company, with the participation of leading Israeli and overseas funds.
The round will take place in two stages: $5 million will be raised immediately, and an additional $5 million according to milestones. The shareholders in the company before the round are Xenia and entrepreneur Alex Rapoport. The financing round is the company's first, before the completion of its incubation period. Xenia will invest $250,000 both stages of the round - a total of $500,000.
Ninox is developing a device for the treatment of obstructive sleep apnea (OSA) that is designed to be effective, comfortable to use, and without the side effects typical of other treatment devices. Patients with OSA suffer from repeated episodes of upper airway obstruction during sleep that disrupts the quality of their sleep and causes accompanying ailments, such as hypertension, diabetes, heart attacks, and stroke.
18 million people in the US alone suffer from OSA. The existing solutions include invasive surgical procedures and sleeping with cumbersome systems that affect the quality of the patient's sleep. The market for treating OSA amounts to $4 billion a year, with double-digit percentage growth projected annually in the coming years.
"We're glad about the completion of a respectable financing round from top-tier investors in a promising portfolio company, which promises to accelerate Ninox's entry into the OSA market with an innovate product. We regard this substantial round as testimony from the investors as to Ninox's great potential, and believe that Ninox, like other portfolio companies, will see significant progress already in 2015," said Xenia CEO Anat Segal.
Published by Globes [online], Israel business news - www.globes-online.com - on March 29, 2015
© Copyright of Globes Publisher Itonut (1983) Ltd. 2015