In a win for Sonoma County's growing medical technology sector, Trivascular Inc. has raised $60 million in new venture funding.
The Santa Rosa company plans to launch its first product — a system for repairing abdominal aortic aneurysms — in Europe later this year.
The financing deal announced Saturday was led by Palo Alto's Pinnacle Ventures, with participation from four other equity funds.
The $60 million announced Saturday could lead to the hiring of more than 100 workers. It brings TriVascular's funding to $155 million since the firm was re-started two years ago after being acquired and then closed down.
"We're pleased to have the support of such a strong group of investors," said TriVascular CEO Mike Chobotov. "We appreciate the vote of confidence in our technology, strategy and team."
About 2 million people in the U.S. have abdominal aortic aneurysms — bulges in the aorta that can rupture, causing internal bleeding and death.
TriVascular's Ovation Abdominal Stent Graft is a small, tubelike metal-and-fabric device that is snaked through a patient's artery and implanted at the aneurysm site. It reinforces the weak spot and lets blood flow normally.
The TriVascular device is an improvement over existing technology because it's easier to implant and fits a larger group of patients, the company said.
Dr. David Kim, a partner at Pinnacle Ventures, said results of the company's early clinical trials are positive.
"TriVascular's technology represents an important technological advancement in the area of endovascular repair and addresses a significant unmet need for patients with aortic disease," he said. "We believe TriVascular is well-positioned to be a major player in the market."
The U.S. market for peripheral vascular technology is expected to hit $5.3 billion by 2016, according to iData Research, a medical market research firm.
TriVascular is finishing clinical trials in Germany and has started U.S. studies aimed at getting its device approved for the domestic market in 2012.
The latest round of funding will pay for the European launch, future clinical trials and new product development, the company said.
TriVascular has about 260 employees at its headquarters near Charles M. Schulz-Sonoma County Airport. The company plans to add 100 workers over the next year as it begins commercial production, marketing and sales, said Vivek Jayaraman, TriVascular's vice president for commercial operations.
The Santa Rosa startup was acquired by industry giant Boston Scientific in 2005, but it was shut down a year later in a corporate cost-cutting move. More than 270 workers lost their jobs.
TriVascular reopened in 2008 when venture capitalists pumped $65 million into the dormant business. The startup's early investors — New Enterprise Associates, Delhi Ventures, MPM Capital and Kearny Venture Partners — added another $30 million last November.
It has rehired about 70 percent of the workers laid off in 2006.
Sonoma County is home to about a dozen medical technology companies, led by Medtronic Inc., which has about 840 employees at its vascular unit headquarters in Santa Rosa. Medtronic's global vascular business generated nearly $2 billion in sales last year.