Fresh off its $82.5 million raise, the second-largest fundraising round of the second quarter among Chicago startups, Augmedics announced a new acquisition that will help grow its platform.
The Chicagoland medical device company successfully bid for the digital health assets of Surgalign and its subsidiary Holo Surgical following a bankruptcy auction.
The acquisition is expected to further strengthen the company's augmented reality and artificial portfolio.
The sale will close at a bankruptcy court hearing set for early next month.
After filing for Chapter 11 in Texas, Deerfield, Illinois-based Surgalign Holdings Inc., selected Xtant Medical Holdings Inc. for its hardware and biologics assets and Augmedics for its digital health assets.
Xtant's bid for the hardware and biologics assets was a cash purchase price of $5 million. Augmedics' bid was $900,000 cash.
Terry Rich, president and CEO of Surgalign, said that the sale ensures that Surgalign's technology "lives on."
The U.S. Food & Drug Administration last year granted clearance of Surgalign's Holo Portal surgical guidance system powered by Holo AI technology. Surgalign's Holo Portal software displays the surgical plan through an interactive AR display and provides a 3D guidance overlay on the patient's anatomy.
Augmedics' Xvision platform similarly uses augmented reality technologies to give surgeons "x-ray vision" to help them accurately navigate instruments and implants during spine procedures. The FDA-cleared technology has been used to treat more than 4,000 patients and implant more than 20,000 pedicle screws across 21 U.S. states.
