CORONAVIRUS UPDATES
Koa Accel, an Irvine-based medtech accelerator, has launched a new portfolio company with an initial seed investment to tackle COVID-19 testing needs.
Kahala Biosciences, also based in Irvine, has partnered with Salt Lake City-based Co-Diagnostics Inc. to distribute its Logix Smart COVID-19 Test, which has received Emergency Use Authorization from the FDA and is available in the U.S.
The molecular test can process up to 382 patient samples per hour and has demonstrated 100% sensitivity and specificity.
“We have identified several diagnostic needs in the COVID-19 space and are exploring additional opportunities under the Kahala umbrella that may further contribute to containing the disease and enabling our country to get back to work,” said Koa Chief Executive Francis Duhay.
Kahala more recently partnered with Rymedi, a pharmaceutical supply chain tracking firm that aims to prevent fake drugs from reaching consumers and provide real-time results reporting through point-of-care diagnostics and machine technology.
While Kahala was launched to meet critical and current needs, Koa typically partners with “an inventor or patent holder and provides an expert team to actually build the business for them, along with an initial investment,” said Chairman Ray Chan. “In either case, speed is the hallmark of our work.”
Koa said it is able to reduce time to FDA clearance for portfolio companies by 60%, resulting in a 75% cost reduction and increasing the likelihood of a successful exit.
Its first portfolio company, Makani Sciences, is developing a wireless, wearable designed to continuously monitor a patient’s breathing rate and pulmonary volumes during medical procedures.
Makani Sciences is working with Taipei’s Wistron Corp. (TPE: 3231) to produce and manufacture its device, which is on track to receive FDA 510(k) clearance in the first quarter of 2021.
Aliso Viejo-based ExsoMed Corp., a developer of minimally invasive products for emergency hand surgery, said it exceeded expectations for its first quarter, despite the impact of the coronavirus.
Many orthopedic companies have invested in technologies for spine, knee, hip and shoulder surgeries, which are procedures that are considered elective amid COVID-19. ExsoMed’s products are largely for emergency hand procedures, and those surgeries are still being performed, according to James Kim, managing director of global sales and marketing.
ExsoMed offers a series of implants with a threaded nail or screw design for the fixation of small bones, bone fragments and fractures. Each implant comes with a single-use instrument package, ensuring sterilization for every procedure, added Kim.
The company moved operations remote in early March. Other actions in response to the coronavirus include offering educational webinars and hosting virtual game nights and study groups to distribution representatives and orthopedic students.
Two practicing orthopedic surgeons founded ExsoMed in 2012. Last year, the company was reincorporated and relocated from Phoenix to Orange County under new leadership including Chief Executive William Maya; Chief Revenue Officer Jon Holder; and Daniel Mickelsen, chief operating and financial officer.
The company said it is well-funded and has a healthy cash flow; regulatory filings show the company has raised about $8 million.
FINANCING
Newport Beach-based CureDuchenne Ventures, the venture arm of the nonprofit organization of the same name, has provided Myosana Therapeutics Inc. with up to $1 million in seed funding.
Myosana has created a non-viral gene therapy for Duchenne muscular dystrophy, a condition that causes muscle weakness and loss due to a genetic mutation on the protein dystrophin, which maintains muscle fibers’ cell membranes.
The condition affects males beginning around the age of 4, and affects some 15,000 boys in the U.S. There is no known cure, and most current treatments involve injecting a part of a gene through a virus into the body.
This approach is problematic because the way the virus travels through the body is unpredictable, and patients are able to build immunity to the virus, according to Myosana’s Chief Executive Steve Runnels.
Runnels said Myosana’s platform doesn’t rely on a virus vector and instead uses a gene attached to a monoclonal antibody to penetrate specific muscle cells.
“The gene goes in and takes up residence in the nucleus of the cell [resulting] in the production of the protein that is supposed to be reproduced,” explained Runnels.
CureDuchenne Ventures has invested in about 18 projects and produced 5 exits. One of those exits was Newport Beach-based firm Exonics Therapeutics, which sold to Vertex Pharmaceuticals for $245 million last year.
PARTNERSHIPS
NuEyes Technologies Inc. in Newport Beach said it will launch a telemedicine platform called NuCall for its vision-assistance smart glasses with San Jose-based software developer Blitzz Software.
NuCall will be available on the company’s e2 smart glasses, which uses augmented reality and virtual reality technologies and will allow for communication via text messaging, WhatsApp and email.
“We are living in unprecedented times and access to care is extremely limited. Whether you are visually impaired or just need access to a medical professional immediately, NuCall was designed to address those needs in a simple and easy software solution,” said NuEyes’ Chief Executive Mark Greget.
NuEyes said it has seen extensive growth over the last two years, and last December inked a deal with Comcast to bring its live streaming service to customers with visual impairments.
The company said it still plans to launch updated versions of its products this year, in addition to a new device for surgical use by year-end.
Laguna Beach-based e-learning firm Virtanza, formally Sales2job Academy Inc., has inked a deal with the UCI Division of Continuing Education (DCE) to offer a virtual career development program in professional sales.
Virtanza’s Professional Sales Readiness course matches candidates with specific sales careers through a tool called the Chally Sales Assessment. The course also provides real-life business case scenarios and an introduction to Salesforce and Groove technologies. The program also assists students with placement in the workforce.
The 12-week online program is offered at a reduced price beginning June 25; enrollment in this session is limited.
Debbie Holzkamp, founder and chief executive of Virtanza, said “the consultative ‘sales’ process we teach translates to success in any field, and we are proud to partner with UCI DCE in offering such relevant, remote training solutions for its students.”
“No matter what products, services or ideas you pitch or which clients you serve, sales readiness is key to your company and your personal success,” added Stephane Muller, director of business and technology programs at UCI DCE.
Virtanza launched in 2015 and partners with universities and employers to provide its professional sales curriculum. Its program provides partial college credit, approved by the American Council on Education’s College Credit Recommendation Service.
