OrthoAccel Technologies has completed an equity financing round of $5 million to further grow the company's sales and marketing functions, the company announced.
The company manufactures AcceleDent, an FDA-cleared, class II medical device that speeds up orthodontic treatment. The company and its lead investors, HealthpointCapital and S3 Ventures, participated in the latest financing round along with other current stockholders.
The company expects to continue its U.S. market expansion, explained Michael Lowe, president and CEO of OrthoAccel. The company increased sales by 170% in 2013 and secured a debt facility for up to $4 million with Comerica Bank in November 2013. The combined equity and debt facility will provide up to $9 million in additional financing to support expansion in major metropolitan markets.
The 170% sales increase is a result of AcceleDent's rapid market adoption in 2013 when the hands-free device became available in more than 1,000 orthodontic locations in North America, noted Doug Bukaty, OrthoAccel's vice president of sales.
