Flosonics Medical Secures $7.5M CAD Venture Debt to Scale Wearable Ultrasound Tech
Flosonics Medical, a Canadian innovator in medical devices, has secured $7.5 million CAD in venture debt financing from RBCx. This funding, along with specialized support, will help accelerate the company’s mission to enhance patient outcomes through non-invasive, data-driven solutions. These innovations aim to empower clinicians to make quicker, more informed decisions at the bedside.
Sepsis remains a critical health challenge, affecting over 75,000 patients annually in Canada and 1.7 million in the U.S. It is one of the leading causes of in-hospital deaths in the U.S., with mortality rates that underscore the severity of the condition. Sepsis occurs when the body’s response to an infection causes widespread inflammation, leading to organ failure and death if not treated promptly. Early detection and timely intervention are crucial to improving patient outcomes, but traditional methods for assessing sepsis-related conditions can be cumbersome and time-consuming.
Traditional Doppler ultrasound machines, used to assess blood flow and vascular conditions, are often inefficient in fast-paced environments such as emergency departments and intensive care units (ICUs). These devices require significant setup time and operator expertise, making them less accessible in situations where immediate decisions need to be made.
In response to this challenge, Flosonics Medical has developed FloPatch, a wireless, wearable Doppler ultrasound device designed for rapid, repeatable hemodynamic assessments. FloPatch can quickly measure a patient’s fluid responsiveness, helping clinicians make informed decisions about appropriate interventions. The device is lightweight, portable, and non-invasive, allowing healthcare providers to perform critical assessments without disrupting patient care. By streamlining the decision-making process, FloPatch aids in optimizing sepsis care, reducing complications associated with fluid management, and improving overall patient outcomes.
In an effort to support the growth of its innovative solutions, Flosonics Medical has secured $7.5 million CAD in venture debt financing from RBCx, the technology and innovation banking arm of Royal Bank of Canada (RBC). RBCx is the first division of a Canadian bank to offer venture debt financing specifically tailored to life science companies.
It provides financial services to pre-revenue, venture-backed life sciences startups, helping them scale their operations and refine their technologies. This specialized support is vital in a capital-intensive sector like life sciences, where access to funding can often be a significant barrier to growth.
The venture debt financing from RBCx will allow Flosonics Medical to expand the reach of FloPatch, bringing the device to more hospitals across North America and beyond. This support will help the company continue its mission to improve patient care and operational efficiency in hospitals. RBCx’s financial backing will also help Flosonics Medical strengthen its position as a leader in the Canadian life sciences sector, fostering further innovation in healthcare technology.
Led by Anne Woods, Managing Director of RBCx’s national Life Sciences practice, the RBCx team offers a combination of tailored financing and strategic expertise. The team’s mission is to help healthcare companies like Flosonics Medical scale and bring transformative innovations to market. Woods emphasized the importance of supporting companies that are driving meaningful change in healthcare, noting that Flosonics Medical exemplifies the potential of Canada’s life sciences sector.
“Flosonics Medical is a great example of the transformative potential of Canada’s life sciences sector, and we’re longtime supporters of their mission,” Woods said. “We’re proud to back the scaling ambitions of companies like Flosonics Medical with the capital they need to improve patient care through bold innovations like FloPatch.”
Joe Eibl, CEO and co-founder of Flosonics Medical, expressed his excitement about the partnership with RBCx and the opportunities it creates for the company. “We’re thrilled to be working with RBCx as we bring FloPatch to more hospitals across North America and beyond,” Eibl said. “This financing allows us to accelerate our mission of equipping healthcare providers with the tools they need to deliver the highest quality of care possible while improving operational efficiencies in hospitals.”
The venture debt financing marks a pivotal moment for Flosonics Medical as it continues to scale its operations and enhance the impact of FloPatch in the fight against sepsis. By providing clinicians with a tool that enables faster, more accurate assessments of fluid responsiveness, FloPatch is poised to transform the management of sepsis and other critical conditions, improving patient outcomes and streamlining healthcare processes.
About RBC
Royal Bank of Canada (RBC) is a global financial institution committed to delivering exceptional performance through a purpose-driven, principles-led approach. With over 98,000 employees, RBC helps clients thrive and communities prosper by leveraging insights and innovation. As Canada’s largest bank and one of the largest banks in the world by market capitalization, RBC offers a diverse range of financial services to more than 19 million clients across Canada, the U.S., and 27 other countries.
