Houston-based OrthoAccel Technologies Inc reports that it has completed an equity financing round of $5 million to further grow the company’s key sales and marketing functions. The company’s lead investors, HealthpointCapital and S3 Ventures, participated in this latest financing round along with other current stockholders.
“We expect 2014 to be a year of significant growth as we continue to expand our market presence in the United States and other key markets,” said Michael K. Lowe, president and CEO of OrthoAccel. “The additional financing will provide critical resources toward that objective.”
The announcement regarding additional financing was made after a year of aggressive sales growth in which OrthoAccel increased sales by 170%. According to Lowe, the company secured a debt facility for up to $4 million with Comerica Bank in November 2013. The combined equity and debt facility will provide up to $9 million in additional financing to support expansion in major metropolitan markets.
OrthoAccel states that the 170% sales increase throughout 2013 is the result of rapid market adoption of the company’s AcceleDent technology. Last year, the hands-free device became available in more than 1,000 orthodontic locations throughout North America.
“The additional financing will allow us to engage even more orthodontic practices in key markets through our sales team and marketing efforts that are targeted to both industry and consumer audiences,” said Doug Bukaty, vice president of sales.
