MedRhythms, a Portland-based company that is using sensors, artificial intelligence and music to develop products that help people with brain injuries and diseases recover walking functions, has raised over $5 million in a round of private equity funding.
The company said in a prepared statement that it intended to raise $4 million but ended up raising $5.3 million because of “substantial interest” in its stock.
The funding round was led by Peter Werth of Werth Family Investment Associates LLC of Woodbridge, Connecticut. Other participants included professional investors and company executives, it said, including a significant investment from Jean Hoffman, founder and former CEO of Portland-based Putney Inc.
The investment will allow MedRhythms to develop and launch a patent-pending digital therapeutics platform that focuses on creating prescription products for people with neurological injuries and diseases to improve and measure walking, the company said.
The first product on the platform focuses on stroke survivors, and the development pipeline includes products for Parkinson’s disease, multiple sclerosis, aging and traumatic brain injuries, it said.
MedRhythms said it intends to hire software, product and commercial professionals for its Portland office.
Along with the new financing, MedRhythms said it is expanding its board of directors from three to five members.
Werth will join the board as lead investor, along with Ray Pawlicki, former chief information officer for Biogen and Novartis and current board member for Harvard Pilgrim Healthcare, UMass Memorial and RockStep Solutions.
Hoffman, the former Putney CEO, will remain on the board, while Bill McKee, former chief financial officer of Barr Pharmaceuticals and Putney, will join the board as an observer.
J. Craig Anderson can be contacted at 791-6390 or at:
Twitter: @jcraiganderson
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