Norwest Venture Partners has made an investment in iCardiac Technologies, which provides cardiac safety assessment services. As part of the transaction, two Norwest healthcare investment leaders, Ryan Harris and Robert Mittendorff, will join iCardiac’s board of directors.
iCardiac Technologies, Inc., a leading global provider of cardiac safety assessment services, today announced a partnership transaction with Norwest Venture Partners (NVP), a global, multi-stage investment firm with $3.7 billion in capital under management. iCardiac will leverage the extensive strategic resources NVP has to offer to aggressively pursue significant growth opportunities and serve the rapidly growing needs of its pharmaceutical and medical device clients worldwide. Also as part of today’s announcement, two of NVP’s healthcare investment leaders, Dr. Ryan Harris and Dr. Robert Mittendorff, will join the Company’s board of directors.
The average cost to develop a new drug is about $1.2B and requires 10 to 15 years of development time.* iCardiac’s unique and proprietary technology allows CROs and pharmaceutical sponsors to obtain cardiac safety assessment results with less variance, resulting in smaller sample sizes and less development time. iCardiac is the world’s largest dedicated ECG core laboratory serving the pharmaceutical industry. It currently serves seven of the world’s 10 largest pharmaceutical companies, as well as numerous medium and small biotech, pharmaceutical and medical device clients.
FDA-mandated cardiac testing, a critical and required component of FDA approval of nearly all new medications, is a need and market that is likely to expand in the future. Norwest recognized this significant growth opportunity in an industry that collectively invests about $50B per year in research and development, of which approximately $30B is dedicated to clinical development. NVP chose to partner with iCardiac because of the company’s best-in-class product, expansive global services operation and stellar team of medical and scientific experts with more than 100 collective years of cardiology, electrophysiology, drug development and regulatory experience.
“With two of its partners being MDs, NVP is a sophisticated investor that understands our industry. Our relationship-driven partnership is about strengthening our company further and serving our customers,” said Mikael Totterman, chief executive officer of iCardiac Technologies, Inc. “Our highly customer-centric culture has become a cornerstone of how the pharmaceutical industry perceives us. Our partnership with NVP will only deepen our customers’ sense of confidence about our continuing ability to meet their needs. We know Ryan and the NVP team will be instrumental in working with us to take our company to the next level.”
“As our healthcare Growth Equity team continues to partner with innovative healthcare service companies, our focus is on great management, deep science, evidence-based medicine and outcomes and innovative technologies,” said Dr. Ryan Harris, partner, Norwest Venture Partners. “We scour the industry for companies that are the best in their sectors, and we found that iCardiac has three compelling competencies that drove us to partner: scientific prowess, technology leadership and, perhaps most importantly, a company culture that demands consistent exceptional customer service.”
“We look forward to helping the team continue to innovate its research and grow its team, which is bolstered by key contributors to several FDA working groups advancing the field of cardiac safety,” added Dr. Harris. “We look forward to partnering with iCardiac as a value-add investor to help the company pursue strategic opportunities and serve its customers even more broadly in the years to come.”
The Most Advanced Data Acquisition, Management, and Analysis Platform iCardiac’s iClinica platform maximizes precision and accuracy while decreasing the cost of cardiac safety assessments from First-in-Human studies to Phase III studies, including Thorough QT (TQT) studies. Due to its superior ECG analysis methods, iCardiac is today the leading provider of ECG core lab services for clinical trials, which is confirmed by the number of its new TQT study awards. The company offers the industry’s most sophisticated, easy-to-use, small, and portable ECG/Holter equipment for multi-site clinical trials, which allows the centralization of ECG and Holter data seamlessly over the Internet. All data is managed electronically, minimizing errors and data loss and reducing costs of data reconciliation.
About iCardiac Technologies
iCardiac Technologies is a global cardiac safety company that has commercialized advanced research originating at leading academic institutions and pharmaceutical companies. Its reach is international, working with pharmaceutical and medical device clients all over the world to bring the best results to cardiac safety.
About Norwest Venture Partners (NVP)
Norwest Venture Partners (NVP) is a leading multi-stage investment firm that has partnered with entrepreneurs to build great businesses for more than 50 years. The firm manages over $3.7 billion in capital and has funded more than 500 companies since inception. Headquartered in Palo Alto, Calif., NVP has subsidiaries in Mumbai and Bengaluru, India and Herzelia, Israel. NVP makes early- to late-stage venture and growth equity investments across a wide range of sectors including: technology, information services, business services, financial services, consumer products/services and healthcare. For more information visit: www.nvp.com. Follow NVP on Twitter @NorwestVP.