Pulmonx Secures $65 Million in Funding Led by Ally Bridge Group to Advance Minimally Invasive Emphysema Treatment

VCBeat (WeChat ID: vcbeat) has learned that medical device company Pulmonx recently completed a $65 million financing round. The round was led by Ally Bridge Group, with participation from RTW Investments, Driehaus Capital Management, and ArrowMark Partners.

Glen French, President and Chief Executive Officer of Pulmonx, stated, “Hillhouse Capital has successfully invested in numerous medical device companies, and we are delighted to partner with them. This financing will be used to accelerate the commercialization of our products and increase revenue.” Upon completion of the financing, Charles Chon, Partner and Head of Medical Devices at Hillhouse Capital, will join the Board of Directors of Pulmonx as a Director.

Pulmonx, established in 1998 and headquartered in Redwood City, California, USA, is a medical device company. The company specializes in developing innovative minimally invasive medical devices and technologies to improve the quality of life for patients with chronic obstructive pulmonary disease (COPD).

According to Crunchbase, Pulmonx has completed eight rounds of financing, raising over $160 million in total. Notably, in March 2010, the company secured $32 million in funding led by Kleiner Perkins and HealthCap; in May 2007, it closed a $20 million Series B round led by DeNovo Ventures.

Pulmonx’s flagship product, the Zephyr Valve, is the first minimally invasive device approved by the FDA for the treatment of patients with severe emphysema. This product is an endobronchial valve implant. During the procedure, physicians insert a bronchoscope through the patient’s nose or mouth into the lungs and place three to five Zephyr Valves in the airways. The treatment typically takes approximately 30 to 60 minutes.

The Zephyr Valve can reduce the volume of diseased areas in the lungs, improve the function of healthier lung regions, and make breathing easier for patients. While traditional treatments are irreversible and devices cannot be removed after implantation, the Zephyr Valve can be explanted if necessary. Additionally, this product helps alleviate patient symptoms and improves their mobility.

Since 2007, more than 150 million patients worldwide have been treated with the Zephyr Valve. The Zephyr Valve has been included in emphysema treatment guidelines by leading global health organizations, including the Global Initiative for Chronic Obstructive Lung Disease (GOLD) and the UK National Institute for Health and Care Excellence (NICE).

Emphysema is a pathological condition characterized by reduced elasticity, hyperinflation, overdistension, and increased lung volume of the airways distal to the terminal bronchioles (including respiratory bronchioles, alveolar ducts, alveolar sacs, and alveoli), often accompanied by destruction of the airway walls. It carries risks of disability and mortality. Patients with emphysema experience fatigue and dyspnea, becoming short of breath even during routine daily activities. There are millions of emphysema patients in the United States who have limited treatment options and a substantial unmet need for minimally invasive and non-invasive therapeutic solutions.

Ally Bridge Group is a global healthcare investment firm. With subsidiaries in China, the United States, and Europe, the company manages approximately $3 billion in assets. Over the past six months, Ally Bridge Group has sequentially invested in Axonics, Vapotherm, OrthoPediatrics, Shockwave Medical, and Silk Road Medical, all of which are leaders in their respective therapeutic areas.

RTW Investments is an investment firm based in New York, USA, specializing in investments in healthcare companies.

Driehaus Capital Management, established in 1982 and headquartered in Illinois, USA, is a privately held asset management firm. The firm manages approximately $10.9 billion in assets.

ArrowMark Partners, founded in 2007 and headquartered in Colorado, USA, is a private equity investment firm.

(Compiled by Jiao Yanli)