Toronto aesthetic technology company Venus Concept Ltd has raised roughly $48 million (US$38 million) in an equity investment. The deal was led by EW Healthcare Partners and joined by HealthQuest Capital and Madryn Asset Management. EW Healthcare and HealthQuest will each receive one board seat as a result. Founded in 2009, Venus Concept develops and makes non-invasive devices for the global medical aesthetics market. Led by CEO Domenic Serafino, it will use the funds raised to grow its subscription-based business model and continue to develop its products. The company secured $10 million from Longitude Capital in 2014.
(Correction: It was previously reported that Venus Concept raised $38 million in Canadian dollars. Various reports suggest the company actually raised US$38 million or more than $48 million.)
Venus Concept Closes $38 Million Equity Financing to Support Continued Growth Opportunities
TORONTO, July 13, 2017 /PRNewswire/ — Venus Concept Ltd., a privately-held and innovative global aesthetic technology leader, today announced the closing of a $38 million equity investment. The equity investment was led by EW Healthcare Partners along with significant participation from HealthQuest Capital and Madryn Asset Management. This financing will help support the rapid growth of Venus Concept’s industry first and only subscription-based business model, the ongoing expansion and maturation of its 27 direct global offices, and the continued development of products to serve the aesthetic marketplace.
Scott Barry, Managing Director of EW Healthcare Partners, also commented on the investment: “We are pleased to be supporting Dom and the management team of Venus Concept as they continue to successfully expand their product portfolio and services globally. We believe that their differentiated subscription model and unique products positions them well to take full advantage of tailwinds in the non-invasive aesthetic market. We are excited to participate in the growth of the company.”
In conjunction with their investments, EW Healthcare Partners and HealthQuest will each receive one seat on Venus Concept’s board of directors.
Northland Securities, Inc. acted as the sole Placement Agent for this transaction.
About Venus Concept
Venus Concept is a global medical technology company that develops, commercializes, and delivers safe, efficacious, and easy-to-use aesthetic technologies and related practice enhancement services in a unique, industry-disruptive subscription-based business model. Venus Concept’s devices have been designed in cost-effective and proprietary ways that enable the company to expand beyond the aesthetic industry’s traditional markets of dermatology and plastic surgery, and into non-traditional markets such as family practice, general practice, internal medicine, obstetrics and gynecology, and medical spas. Approximately 70 per cent of its devices are sold in non-traditional markets. The company has expanded its subscription platform and is now selling its devices in over 60 countries, including 27 with direct offices. The company now has over 400 global employees whose customer-centric approach has supported the rapid growth of the company. For more information, please visit www.venusconcept.com.
About EW Healthcare Partners
With over $3.0 billion under management, EW Healthcare Partners is one of the largest and oldest growth equity firms pursuing investments in pharmaceuticals, medical devices, healthcare services, and healthcare information technology. Since its founding in 1985, Essex Woodlands has maintained its singular commitment to the healthcare industry and has been involved in the founding, investing, and/or management of over 150 healthcare companies, ranging across sectors, stages, and geographies. The team is comprised of over 20 senior investment professionals with offices in Palo Alto, Houston, New York, and London. For more information, please see www.ewhealthcare.com.
About HealthQuest Capital
HealthQuest Capital makes early growth investments in innovative commercial-stage healthcare companies that are improving both patient outcomes and healthcare economics. Investments focus on medical products, diagnostics, healthcare IT, and technology-enabled healthcare services. HealthQuest Capital is headquartered in Menlo Park, CA with west coast and east coast offices. Learn more at www.healthquestcapital.com.
About Madryn Asset Management, LP
Madryn Asset Management, LP is a leading alternative asset management firm that invests in innovative healthcare companies specializing in unique and transformative products, technologies, and services that create attractive economic opportunities. Backed by a seasoned executive management team, the firm draws upon its diverse expertise and original insights to deliver attractive returns for its limited partners while creating long-term value in support of its portfolio companies.
For further information: Melissa Kang, Phone: (888) 907-0115 ext. 139, Fax: (855) 905-0115, Email: [email protected]
Photo courtesy of Venus Concept Ltd