Axonics Modulation Technologies, Inc., developer of the first rechargeable Sacral Neuromodulation (r-SNM™) system for the treatment of urinary and bowel dysfunction, announced today that it has completed a $20.5 million second closing of its Series C financing, bringing the total amount of capital raised for its Series C to $35 million.

The second closing of the Series C round included two new investors, Gilde Healthcare, which has offices in Boston and Utrecht, Netherlands, and CICA, Inc. based in La Jolla, California. Existing investor, Boston-based Cormorant Asset Management also participated in both closings as did a select group of private individuals.

Geoff Pardo, Partner at Gilde Healthcare, joined the Axonics board of directors. Pardo has significant experience in the medical device industry as an operator and venture investor.

Pardo commented, “Gilde believes that the SNM market will grow to over $1 billion in revenue in the next few years and with only one player in the market today, we are confident that Axonics, given the quality of its management team and its miniaturized implantable rechargeable system, is poised to take a measurable portion of that market following FDA approval.”

Proceeds from the financing will be used to conduct a pivotal clinical study in Overactive Bladder patients to gain U.S. FDA approval and prepare Axonics to access markets around the world. The U.S. pivotal study is anticipated to begin in late 2017 in select medical centers in North America and Europe. During 2016, the Axonics r-SNM system gained regulatory approval in Europe and Canada.

“On behalf of all the stakeholders in Axonics, we extend a warm welcome to our new world-class investors and Mr. Pardo as a new board member. The fact that this financing was oversubscribed is testament to the quality of work that the Company has done to create an innovative and highly competitive sacral neuromodulation system,” said Raymond W. Cohen, Chief Executive Officer of Axonics.