Medical Fish Skin Company Kerecis Secures USD 21 Million Financing
A Silicon Valley Bank credit facility and additional financing from other lenders increase operational flexibility and support the company’s long-term strategy
Arlington, VA and Reykjavik, Iceland — August 27, 2020 — Kerecis Limited, a regenerative-medicine biologics company, has secured $21 million in new financing.
Silicon Valley Bank is providing a revolving line of credit of up to $15 million to meet the company’s near-term working-capital needs. Also, the company’s leading investors and other lenders have provided the company with $6 million in loans that largely consist of convertible notes. The funding will be used to support the company’s expansion plans in the U.S. Kerecis closed a $16 million Series C equity financing in April 2019.
Kerecis develops products from fish skin and fatty acids that protect and regenerate human wounds and heal damaged tissue. Because there is no risk of a viral-disease transfer from Atlantic cod to humans, the fish skin needs only mild processing for medical use and maintains its natural structure and elements, including Omega3 fatty acids. The Kerecis fatty-acid-rich products protect the body against bacterial and viral infections.
The Silicon Valley Bank facility is an asset-based revolving line of credit for up to three years, providing working capital for Kerecis’ rapidly expanding U.S. operations. The bank is also providing treasury management and other services to streamline Kerecis’ banking operations.
“Overall, this funding will allow us to accelerate development and marketing of our products for wounds, burns and other medical needs, especially in the United States,” said G. Fertram Sigurjonsson, founder and CEO of Kerecis. “It is fantastic that both Silicon Valley Bank and our investors have expressed their confidence in our overall strategic plan and potential.”
“Silicon Valley Bank is excited to be working with Kerecis to help them bring their innovative medical products to the U.S.,” said Julie Betts, Managing Director at Silicon Valley Bank. “The company has shown great traction already, demonstrating that they’re bringing a compelling new product to the market.”
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