Tethys Bioscience raises $33 million to drive market uptake of PreDx Diabetes Risk Score blood test

Jul 21 2010

Tethys Bioscience, Inc., a privately held company, announced today that the company has recently raised $33 million, comprising $23 million of venture financing and a $10 million working capital loan. Participants in the venture financing included new investors Greenspring Associates, Inc. (formerly Montagu Newhall Associates, Inc.) and Paul Capital Investments, as well as current investors. The working capital loan was provided by Oxford Finance Corporation and Silicon Valley Bank. The additional $23 million brings the total raised in the company's Series D round to $48 million. These proceeds will support expanded commercialization of the Tethys PreDx™ Diabetes Risk Score (DRS), a simple-to-use, multimarker blood test that enables accurate identification of patients who have a high risk of developing type 2 diabetes within five years.

"We believe that Tethys represents an excellent investment opportunity based on the growing market penetration of PreDx DRS, successful implementation of sound financial, commercial and strategic initiatives and a robust patent estate," said John Avirett, Principal, Greenspring Associates. "We are pleased to join with other investors to support the company's continued progress toward building a sustainable, profitable business."

"Tethys is executing an aggressive program to drive market uptake of the PreDx Diabetes Risk Score for the identification of patients at high risk of developing type 2 diabetes," said Mickey S. Urdea, PhD, chairman and chief executive officer of Tethys. "Since early 2009, more than 15,000 PreDx tests have been ordered in the US by physicians for patients they suspect to be at risk for the disease. We plan to continue to build market share through our regional sales force growth, partnerships and strategic alliances, and to expand access to programs designed to motivate patients to adopt the lifestyle and behavioral changes necessary to preempt development of disease."