Alafair Biosciences Inc. has identified how it plans to spend its most recent $2 million series A funding round — the Austin medical device company said Monday afternoon it will use those dollars for product development and to widen its branding reach.
The investment, first reported by Austin Business Journal back in mid-July, was led by ATP Fund and will be used to “aggressively expand sales and marketing efforts” and to grow its product pipeline, the company said.
The funding boosts to $5.9 million the amount of capital Alafair has brought in since it was founded in 2011 and comes a couple of months after the company received federal clearance to sell its first device, a hydrogel to protect tendons after surgery. At the time, Chief Operating Officer John Joyoprayitno told ABJ Alafair hopes to begin shipping the VersaWrap in the second quarter of 2017.
As part of the deal, ATP Fund Managing Partner Kyle Cox has joined Alafair’s board of directors. The UT Horizon Fund, a venture capital arm of the University of Texas System, also invested in the round.
“The UT Horizon Fund’s investment in Alafair is part of an amazing story, in which discoveries born in the lab at UT Austin have grown into a technology platform that is set to make a difference in the lives of people here in Texas and beyond,” Julie Goonewardene, managing director of the UT Horizon Fund, said in a statement.