Abilitech Medical has raised $2.9 million in capital through a convertible note, CEO Angie Zavoral Conley said Thursday.
Thirteen investors took part in the raise, which includes debt and equity. A new investor led the round, but Conley was unable to name them publicly.
Late last year, the Eden Prairie-based company debuted its first commercial product, the Abilitech Assist, which helps restore arm movement in people who have neuromuscular weakness.
Conley said the new capital will help Abilitech expand into products that assist people living with spinal cord injuries. She cited a recently completed feasibility study that highlighted the potential impact such a device would have on that population.
For example, while many people with neuromuscular weakness tend to be younger and live with their parents, patients with spinal cord injuries are generally adults living independently.
Conley also sees an economic impact to addressing people with spinal cord injuries, because fewer than 10% of of such patients are unable to return to work after 10-years of their injury. Meanwhile, medical costs for this population can exceed $120,000 annually.
"There's a lot to look forward to this next year. We're going to impact many lives and we're refining and getting better," Conley said. "And we'll welcome any other investors who want to become part of the family."
Conley was just recognized by the Business Journal as a 2021 Women in Business honoree.
She told the Business Journal she was motivated to launch the company while working as executive director of Magic Arms, a nonprofit that helps children with rare neuromuscular conditions get fitted with exoskeletons.
In 2019, Abilitech was named the winner of the Minnesota Cup, Minnesota's largest startup competition.
