Biocoat Files for IPO Following Strategic Acquisition by 1315 Capital to Advance Personalized Hydrophilic Coating Solutions for Medical Devices

VCBeat (WeChat: vcbeat) learned from foreign media that on January 16, U.S. local time, Biocoat, a specialized manufacturer of hydrophilic biomaterial coatings for medical devices, announced its acquisition by 1315 Capital.

Biocoat, founded in 1991 and headquartered in Pennsylvania, primarily develops biomaterial coatings for medical devices. It also recommends coating contractors to medical device companies or provides certain in-house coating services.

1315 Capital is a leading healthcare growth investment firm headquartered in Philadelphia, providing growth capital to commercial-stage healthcare services, medical technology, and specialty pharmaceutical companies. It is understood that 1315 Capital aims to invest $10 million to $25 million in commercial healthcare businesses, with the potential to help these companies achieve approximately $100 million in revenue. This makes them highly attractive candidates for acquisition or entry into public markets.

1315 Capital manages over $500 million in capital. By leveraging experienced investors and a strategic operations team, it collaborates closely with the management teams of its portfolio companies to drive decision execution, enabling platform companies to rapidly grow into high-value enterprises that positively impact patients, physicians, and the broader healthcare system. Following this acquisition, 1315 Capital will help expand its market share in the biomaterial coatings sector for medical devices, with its investment returns projected to reach $15 billion by 2021.

“We are very pleased with the financial support secured through this merger,” said Jim Moran, President and Chief Executive Officer of Biocoat. “There is clear synergy between our management team and the team at 1315 Capital. Their investment and operations teams excel in providing strategic support and expertise, enabling Biocoat to adopt a more proactive approach to market entry.”

It is understood that Biocoat specializes in providing lubricious hydrophilic coatings to original equipment manufacturers (OEMs) and partners, primarily for applications in neurovascular, cardiovascular, peripheral vascular, and ophthalmic devices.

“Biocoat combines differentiated technology with an expanding market and a growth-focused management team, which is an excellent fit for 1315 Capital. We are delighted to embark on this partnership with Jim and his team,” said Michael Koby, Co-Founder of 1315 Capital.

Furthermore, Scott Cramer, Chairman of Biocoat, added, “Biocoat’s HYDAK technology delivers extremely low particle counts, high lubricity, and low friction. This acquisition enables Biocoat to further increase its investment in research and development, while expanding and diversifying its business model to serve a broader customer base.”

It is reported that Biocoat’s HYDAK hydrophilic coating technology offers unique advantages over other products on the market. Based on hyaluronic acid, a naturally occurring polysaccharide, its dual-layer coating platform features covalently bonded hyaluronic acid hydrogel, which renders medical device surfaces smooth. The covalent bonds create a robust coating surface that is highly durable and exhibits low particulate shedding. The HYDAK coating can be customized to meet the design requirements of various devices.