Several Orange County device and drug makers, ranging from startup to public, took their proposals for funding and partnerships last week to the Southern California Biomedical Council’s annual investor conference in Los Angeles.
Irvine drug maker Spectrum Pharmaceuticals Inc. talked about its recent developments, including last month’s launch of Fusilev, a bone cancer drug.
Inscent Inc., an Irvine company that is working on the identification and refinement of small molecules to control insect pests, also was on hand.
California Stem Cell Inc., based in Irvine, presented as part of the conference’s regenerative medicine section. California Stem Cell makes what it calls “high-purity” human stem cells.
Bone-Rad Therapeutics Inc., of Corona del Mar, was among the conference’s orthopedic companies. Bone-Rad is developing radioactive bone cement to be used to manage cancerous tumors in bones.
Among imaging and screening companies, Integrated Endoscopy Inc. of Rancho Santa Margarita discussed a design for endoscopic surgical tools.
Also on hand was Irvine-based NeoMatrix Inc., which makes Halo, a test used to determine a woman’s risk for developing breast cancer.
The day concluded with Allvivo Vascular Inc., a Lake Forest company that is developing a coating for coronary stent devices that prevent re-blockage of coronary arteries, and MiCardia Corp. of Irvine. MiCardia, which is working on developing medical devices for treating advanced congenital heart failure and mitral heart valve disease, recently raised $5 million in bridge funding from insiders.
|
|
NeoMatrix breast cancer screening device: company on hand at investor conference |
The biomedical council is a member-supported trade group for drug and medical device companies, researchers and academic institutions throughout the Southland.
Quality Update
Quality Systems Inc., the Irvine-based medical records and billing software company, was downgraded earlier this month by a Piper Jaffray Cos. analyst.
Analyst Sean Wieland, in a note to clients, downgraded Quality to “neutral” from “buy.” Quality’s stock may not rise much in the next 12 months after what he called a “meteoric rise” since the company’s last quarterly report.
As of last week, Quality’s shares were up some 35% since early June with a market value of $1.1 billion.
“The stock’s appreciation is due to a combination of factors, including the outperformance on results, the resolution of issues surrounding a dissident shareholder and board member, a board shakeup and the introduction of a new CEO,” Wieland said.
Quality shareholders earlier this month pushed back a slate of directors put forth by dissident shareholder and director Ahmed Hussein, who owns 17% of the company.
From the company’s slate, shareholders elected Chairman Sheldon Razin; recently appointed Chief Executive Steven Plochocki; George Bristol; Patrick Cline, president of Quality’s dominant NextGen medical software unit; Philip Kaplan; Vincent Love; and Russell Pflueger.
They also elected Hussein and Murray Brennan from the dissident slate.
Quality also said that the final voting results showed that a proposal from Hussein to amend the definition of “independent director” in its bylaws “was soundly rejected by shareholders.”
The company recently named healthcare veteran Plochocki to succeed longtime chief executive Lou Silverman.
TriZetto Names President
Tony Bellomo is the new president of the TriZetto Group Inc. Bellomo replaces president and chief operating officer Kathleen Earley, who is leaving the Newport Beach healthcare information technology company to pursue other opportunities.
Bellomo’s appointment is effective Oct. 1. He most recently was TriZetto’s executive vice president of product management. The 54-year-old Bellomo has been an executive at TriZetto since 2000, when the company bought Erisco Managed Care Technologies from IMS Health Inc. of Norwalk, Conn.
Apax Partners LLP., a New York private equity firm, recently bought TriZetto in a $1.4 billion deal.
$2.5M Funding
Sensory Medical Inc., a San Clemente medical device maker, said it received a $2.5 million first round of financing from Salt Creek Medical Device Development. Sensory is focused on treatments for restless legs syndrome, or the irresistible urge to move the legs to stop uncomfortable or odd sensations.
Fred Burbank, Mike Jones and Al Memmolo formed Salt Creek in 2006. Burbank, Jones and Memmolo started and sold San Juan Capistrano’s Vascular Control Systems Inc. to Ethicon Inc., a Johnson & Johnson unit, two years ago.
Burbank’s also a previous founder and principal inventor of medical devices developed and commercialized by Biopsys Medical, which Ethicon bought in 1997, and SenoRx Inc. of Aliso Viejo.
As part of the deal, Jim Voelker, a Salt Creek adviser, will join Sensory’s board.
