Initially, Virtual Reality (VR) was introduced in video games, and many did not expect this tech to break out of the gaming world! As the technology evolved rapidly, the VR tech found itself in unexpected places like healthcare.
A growing number of hospitals and medical schools are embracing VR to provide better training for surgeons and resident doctors. The technology has improved so much that a medical student can learn anatomy by sliding a lifelike digital hologram. These VR simulators help medical people to practice without putting patients at risk.
Raised approx €5 million
While there are lots of VR platforms available, FundamentalVR is one of them. The London-based medical tech startup has recently announced a £4.3 million (approx €5 million) in Series A round led by Downing Ventures, with support from Tern, Epic Private Equity, and Brighteyes Ventures. The round is also joined by leading medical institutions, including the Mayo Clinic.
Investing in the Fundamental Surgery education platform!
The funding round includes a £0.5 million convertible loan note conversion, with a post-money valuation of £11.3 million. This funding round allows for further investment into FundamentalVR’s Fundamental Surgery education platform.
The implicit price of the syndicated funding represents a 27% uplift on the investment of £1.9 million made by the Company in FundamentalVR in May and October 2018. Following the funding round, Tern’s shareholding in FundamentalVR will be 26.9%, with a valuation of £3.0 million, representing a fair value increase of £0.6 million.
In conjunction with this funding round, Tern has converted, at a 20% discount to the current fundraising price, £0.5 million of convertible loan notes advanced to FundamentalVR (plus interest). Tern provided these bridging loans to FundamentalVR between April and September 2019.
What is Fundamental Surgery?
It is a software platform that takes advantage of readily available VR software with cutting-edge haptics (the sense of touch) to create a simulation system that can be used on any modern PC or laptop. It’s worth mentioning that the simulation system requires a low hardware investment and a simple ongoing license fee.
Offers’ flight simulators’!
Founded in 2012, FundamentalVR delivers VR haptic ‘flight simulators’ for surgery, creating a safe, measurable & repeatable space to refine skills. The company was founded by Chris Scattergood and Richard Vincent.
This technology has been recognised by The New York Times and Fast Company, TIME Magazine’s Top 50 inventions of 2018, and also received SXSW’s Interactive Innovation Award in 2019. With this platform, the company aims to give access to the best simulations on a day-to-day basis.
Tern CEO, Al Sisto, said,
We identified early on that FundamentalVR’s team was developing a platform that was very special. A training and data analysis offering which could revolutionise the skills development of surgical practice, while at the same time creating a database of significant importance to the industry. We are delighted that the value and relevance of this exciting business and its entire staff have been recognised by this outstanding syndicate of new investors we helped solidify.
This is an important milestone for FundamentalVR, and it epitomises Tern’s strategy to invest in great teams and ideas, not only through the provision of capital but also with active support and advice for the benefit of our shareholders. Changing the approach to learning and deploying new procedures and products in the world of healthcare is of critical importance for everyone’s future, and FundamentalVR is leading the way.
Main image credit: FundamentalVR
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