ONWARD Medical raises funding in an accelerated bookbuild backed by Ottobock, Invus, and ASR Global Impact Fund to advance its breakthrough neurotechnology therapies.

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Eindhoven-based ONWARD Medical, a medtech company specialising in spinal cord stimulation therapies, has raised €50.85M in gross proceeds through an accelerated bookbuild offering via a private placement with institutional investors.

The Private Placement consisted of the issuance of 11.3 million new ordinary shares at an issue price of €4.50 per share, as determined by the Company’s pricing committee.

The transaction involved both existing and new investors. It includes the listed company Ottobock, the healthcare investor Invus, and the ASR Global Impact Equity Fund managed by a.s.r. Asset Management N.V.

Fund utilisation

ONWARD intends to use the net proceeds from the Private Placement, along with its current cash balance, for various purposes.

Around 40 per cent will fund development initiatives for the ARC-IM System, which targets blood pressure instability in people with spinal cord injuries. 

Moving forward, 30 per cent will be allocated to expanding sales and operations for the ARC-EX System in the United States, Europe, and other select markets.

Additionally, 20 per cent will support quality and administrative activities, while five per cent will provide working capital and cover general corporate needs.

The remaining five per cent, according to the company, will go towards covering financing costs, including existing debt obligations.

These net proceeds are expected to provide the Dutch company with enough cash to operate through at least the end of 2026, assuming no drawdown of the Company’s debt facility.

ONWARD Medical: Creating therapies to empower people with Spinal cord injuries

ONWARD Medical is a medical technology company developing therapies to restore movement, function, and independence in individuals with spinal cord injury (SCI) and movement disorders. 

ONWARD ARC Therapy is a type of spinal cord stimulation that can be delivered using either an external ARC-EX or an implantable ARC-IM platform. The therapy is programmed to provide targeted stimulation. 

The Company received ten Breakthrough Device Designations from the US Food and Drug Administration for its ARC Therapy platform. 

The Company’s ARC-EX System is cleared for commercial sale in the US.

The Company is also developing an investigational implantable system called ARC-IM, which can be paired with a brain-computer interface (BCI) to restore thought-driven movement.

In 2023, positive results were presented from the Company’s Up-LIFT study, which evaluated the ability of transcutaneous ARC Therapy to improve upper extremity strength and function.