Local News

LipoScience Lands New Investor, $13 Million In Additional Venture Capital

Posted August 15, 2006 3:27 a.m. EDT

— LipoScience

, a developer of a test to determine a person's risk of developing heart disease, has a new investor and $13 million in new capital.

The 12-year-old Raleigh firm said Tuesday it had closed on a series "F" round of financing led by Camden Partners, LLC.

Existing investors contributed $7 million to the round. They include Research Triangle Park-based Pappas Ventures, GE Capital Equity Investments, INVESCO Private Capital, Sightline Partners, Three Arch Partners and Varian, Inc.

LipoScience closed on $13 million in Series E financing in August of 2003.

Charles Sanders, a longtime executive with Glaxo, is LipoScience's chairman.

"This represents a significant vote of confidence in the current and future value of LipoScience and its products," Sanders said in a statement. "The fact that $7 million of the funding came from existing investors demonstrates a strong commitment to this company's vision and its prospects for the future."

As part of the investment, Richard Johnston of Camden Partners joins the LipoScience board of directors.

"This is a tremendous achievement for LipoScience and we are pleased that leading investors continue to recognize the significant advances we have made over the past three years and our potential for the future," said Richard Brajer, LipoScience's chief executive officer. "This funding will allow us to confidently invest in the deployment of our in-vitro diagnostic system and to continue to drive growth and awareness for the NMR LipoProfile test."

LipoScience's NMR LipoProfile test is used to determine the number of LDL particles, which carry cholesterol, in a person's bloodstream. The higher the number of particles, the greater the risk of coronary heart disease.

According to LipoScience, measuring of cholesterol alone is not a "reliable predictor" of the number of LDL particles or the risk of coronary heart disease.

The company was known as LipoMed until 2002. It launched operations in 1997 after being founded in 1994.