CI Leads $1.8 Million Series B Investment Round in Precipio Diagnostics LLC
Company draws upon world-class expertise to provide high-quality pathology diagnostic services
ROCKY HILL, Conn., October 17, 2013 – Connecticut Innovations (CI), the state’s quasi-public authority responsible for growing Connecticut businesses through innovative financing and strategic assistance, today announced that it has made a $750,000 investment in Precipio Diagnostics LLC (Precipio) of New Haven, Conn., through its Eli Whitney Fund. CI’s investment was part of a $1.8 million Series B funding round, which was led by CI and also included participation from Ironwood Capital, Enhanced Capital, Kuzari Capital and individual investors. In 2012, CI provided the company with a $500,000 loan through the Bioscience Facilities Fund.
“Precipio, which delivers high-quality pathology diagnostic services in collaboration with Yale, is undertaking exactly the type of industry-university partnering the Malloy administration encourages to accelerate the growth of Connecticut’s technology economy,” said Claire Leonardi, chief executive officer of CI. “We are highly encouraged by the strong traction the company’s services are receiving in the marketplace and by the company’s growth to date.”
Precipio works with academic institutions to bring the highest quality pathology services and diagnostics to physicians. The company unlocks the potential of academic expertise and technological advancements, delivering unparalleled care to community oncologists and hospitals and their patients worldwide. Through exclusive agreements with Yale School of Medicine and Yale-New Haven Hospital, Precipio works with world-class, highly trained and experienced pathologists to evaluate patient samples and produce comprehensive pathology reports. Additionally, Precipio licensed from Yale cutting-edge diagnostic tests and technologies, such as the tumor profiling testing suite and a patented prognostic biomarker for ovarian cancer, discovered at Yale.
“We are delighted with the support provided to us by CI and other investors who participated in this round,” said Precipio CEO Ilan Danieli. “In the past couple of years we’ve helped scores of cancer patients around the world, by providing them with access to the highest level of diagnostic expertise and technologies that are not available to any of our competitors. Our friends at Yale play a key role in supporting our operation, by making the challenging transition from purely academic operations to delivering commercial-level services to community oncologists and hospitals.”
Precipio commenced sales about a year and a half ago and has already produced more than 800 diagnostic reports for patients worldwide, providing high-quality pathologic interpretations, as well as insights that help physicians deliver better patient care. To handle the growing pipeline of patient cases, the company has grown its team to 14 employees.
“Precipio Diagnostics is among a vibrant group of innovative companies transforming New Haven into a destination for entrepreneurs and researchers working in bioscience, biotechnology, and other emerging healthcare-related fields,” State Senator Toni N. Harp (D-New Haven) said. “I am encouraged about Connecticut’s future when I see companies like this take root in New Haven, and I applaud Connecticut Innovations’ considerable investment in this one. This sector of our economy is forecast to grow for the foreseeable future.”
“New Haven is gaining a reputation as a growing hub for biotech and engineering companies,” said State Representative Gary Holder-Winfield (D - New Haven). “Investments in high-tech businesses such as Precipio Diagnostics help keep well-paying jobs in New Haven. These investments also strengthen our community, keep Connecticut residents working and promote innovation, which helps our economy recover.”
Kevin Crowley, CI managing director of investments, represents CI on Precipio’s board of directors.
About Connecticut Innovations Inc.
Connecticut Innovations (CI) is the leading source of financing and ongoing support for Connecticut's innovative, growing companies. To maximize each business’s growth potential, CI tailors its solutions and often combines its funds with resources from other financial leaders to provide venture capital and strategic support for early-stage technology companies; flexible loans for established companies with new innovations; grants that support innovation and collaboration; and connections to its well-established network of partners and professionals. Through all these initiatives, CI has helped bring $4 billion in financing to Connecticut companies. The state’s most active early-stage investor, CI has created more than 26,000 jobs. For more information on CI, please visit www.ctinnovations.com.
About Precipio Diagnostics LLC
Precipio collaborates with leading academic institutions to deliver the highest quality of pathology services to its customers, and create a significant positive impact on patient care. Focused on cancer diagnostics, Precipio offers its customers – community oncologists and hospitals – access to the highest level of expertise from academic institutions. The company has successfully combined academic-level excellence with the sales and marketing expertise, the proper operational processes and the necessary service level standards required to deliver proper support to our customers. Precipio has also exclusively licensed and is bringing to market several diagnostic technologies developed at Yale. These technologies have already made a significant impact on patients around the world. For more information, visit www.precipiodx.com.