Velano Vascular Secures $10 Million Growth Financing to Advance PIVO Needle-Free Blood Collection Platform

VCBeat (WeChat Official Account: vcbeat) has learned that Velano Vascular, a medical device company, recently announced the completion of its initial $10 million growth financing round. The round was participated in by Intermountain Healthcare; Edward Ludwig, former Chairman and CEO of Becton Dickinson; renowned entrepreneur Marc Benioff; Robert L. Parkinson Jr., former Chairman and CEO of Baxter International; Kapor Capital; and other undisclosed investors.

The proceeds from the financing will primarily be used for two purposes: first, to advance the commercialization of the company’s PIVO needle-free blood collection technology and other novel vascular access solutions; and second, to establish a state-of-the-art production line in the United States to meet the growing demand for PIVO from health systems.

Velano Vascular was founded in San Francisco, California, in 2012, dedicated to improving traditional blood collection techniques to reduce risks, enhance efficiency, and advance clinical research on vascular access. The disposable needle-free blood collection device PIVO, developed by Velano Vascular, can mitigate the risks associated with venipuncture caused by body weight, chronic diseases, or other physical conditions.

The PIVO device, which received FDA 510(k) clearance in 2017, enables the acquisition of high-quality blood samples from peripheral intravenous lines, thereby reducing hospitals’ reliance on repeated needle sticks and central venous access for phlebotomy. In addition to seeking a better care experience and a safer treatment environment for patients, as well as providing health systems with a more cost-effective alternative, PIVO is also designed to serve the growing population of patients with difficult venous access (DVA).

It is reported that there are over 1 billion inpatient blood draws worldwide each year, accounting for nearly 70% of all medical procedures. Traditional needle-based phlebotomy techniques are not only difficult and inefficient but have also become increasingly complex due to the growing number of patients with difficult venous access (DVA). Velano’s PIVO needle-free blood collection device and its vascular access product line address the urgent global challenges in vascular access. As of 2018, the PIVO needle-free blood collection device had been adopted by dozens of hospitals across ten states in the United States.

It is worth noting that Intermountain Healthcare is the first healthcare organization in the United States to incorporate the PIVO device into its standard of care. A. Marc Harrison, M.D., President and CEO of Intermountain Healthcare, stated, “We have witnessed many positive impacts of Velano’s visionary approach to single-stick inpatient therapy, and we are delighted to partner with Velano to jointly provide more innovative and patient-centered care.”

According to Crunchbase, Pulmonx has completed five rounds of financing, raising a total of over $37 million. The largest round was a $17 million Series B financing completed in March 2017.

Velano CEO Eric M. Stone said, “We warmly welcome our investors. To meet the commercial demand for the PIVO device and a suite of innovative blood collection solutions, we are establishing new production lines in the United States and recruiting new hospital partners.”

Intermountain Healthcare, established in 1975, is a nonprofit healthcare system headquartered in Salt Lake City, Utah. Intermountain Healthcare operates 24 hospitals and 160 clinics, employs approximately 2,300 physicians and advanced practice providers, and manages a health plan group known as SelectHealth, among other entities.

Edward Ludwig served as Chairman and Chief Executive Officer of the global medical technology company Becton, Dickinson and Company (BDX) from February 2002 to June 2012. He has been a member of the Board of Directors of Boston Scientific Corporation since March 2014. Edward Ludwig primarily invests in seed-stage technology companies.

Marc Benioff is the co-CEO and founder of Salesforce, as well as a pioneer in cloud computing. He was named “Innovator of the Decade” by Forbes and ranked third on Fortune’s 2017 “Businessperson of the Year” list.

Robert L. Parkinson Jr. served as Chairman and Chief Executive Officer of Baxter from 2004 until January 1, 2016. He currently serves as Chairman Emeritus of Baxter.

Kapor Capital was founded in Oakland, California, in 1999, primarily investing in seed and early-stage companies.

(Compiled by: Li Chengping)