Bethesda-based Company Recently Awarded $7.5M Department of Defense Contract
BALTIMORE, MD. December 15th, 2011 – The Maryland Department of Business and Economic Development (DBED) has made an initial investment of $250,000 Maryland Venture Fund in BrainScope Company Inc., a Bethesda-based medical neurotechnology company that is developing non-invasive instruments to assess brain function. The company will use the funding for development and clinical trials for a medical device they are developing focused on Traumatic Brain Injury and its milder forms known as concussion. BrainScope is among the first companies in Maryland to receive funding from the State Small Business Credit Initiative, a federal initiative passed as part of the Small Business Jobs Act of 2010 aimed at helping small businesses access much-needed capital to expand and create new jobs. Earlier this year, Maryland was awarded $23 million in federal funding to be invested in businesses over the next several years and disbursed through four existing State finance programs, including the Maryland Venture Fund.
"Maryland's knowledge economy – one based on science, security, technology and healing – is fueled by innovative companies like BrainScope. The Department is pleased to invest in this promising technology, which beings hope to the millions of people each year impacted by Traumatic Brain Injury through sports injuries, accidents and other causes," said DBED Secretary Christian S. Johansson. "With companies like BrainScope leading the way and the tremendous research coming from the private sector as well as our universities and federal labs, we can make Maryland a center of excellence for the medical device industry."
"We are delighted that the Maryland Venture Fund has made this investment in BrainScope," said Michael E. Singer, BrainScope President and CEO. "Our focus for these funds has been to hire top quality technical and clinical staff as we develop our unique medical device to assess Traumatic Brain Injury, including concussion."
Earlier this week, BrainScope announced it was awarded an 18-month, $7.5 million U.S. Department of Defense contract for the "Assessment of Head Injury in the Emergency Department: Clinical Validation of the BrainScope Ahead® Technology." BrainScope's Ahead® M-100 is a handheld, non-invasive medical device in development that could provide a rapid and objective assessment of brain injury, based on patterns identified in brain electrical activity. The device is intended to be used as an adjunct to standard clinical practice to aid in the rapid and effective assessment of military service members suspected of TBI at the point of care and address the unmet need for a medical device to aid in triage of patients who are suspected of traumatic brain injury (TBI). The company also recently participated in MEDICA 2011 in Germany, the world's largest forum for in-patient and out-patient medicine, with the help of a DBED MD Export grant on $5,000.
A jobs analysis and economic impact report on Maryland's life sciences industry - Maryland Life Sciences: Jobs Analysis and Economic Impact Report – shows that life sciences was one of the State's strongest and most stable industries, accounting for 6.5 percent of the State's Gross Domestic Product and generating one-third of all job gains between 2002 and 2010. The report found that Maryland has more than 1,700 life sciences establishments in the private sector - the 5th highest concentration in the nation. In total, the sector supported 71,600 jobs at federal agencies, higher education institutions and the private sector. Workers in the life sciences industry earned, on average, more than $91,000 - 76 percent more than the average Maryland wage earner.
To move Maryland's life sciences industry forward, Governor Martin O'Malley in 2009 launched BioMaryland 2020, 10-year, $1.3 billion strategy for moving Maryland's bioscience industry forward. Over the past three years, roughly $164 million has been spent, or approved for spending, on BioMaryland initiatives, not including more than $100 million in science and technology related infrastructure at the State's universities and community colleges. Earlier this year, Governor O'Malley signed into law InvestMaryland, an historic initiative which will infuse a minimum of $70 million into promising start-up and early stage companies in Maryland, creating the largest single shot of venture capital investment in the State's history.
The Maryland Department of Business and Economic Development stimulates private investment and creates jobs by attracting new businesses, encouraging the expansion and retention of existing companies, and providing workforce training and financial assistance to Maryland companies. The Department promotes the State's many economic advantages and markets local products and services at home and abroad to spur economic development and international investment, trade and tourism. Because they are major economic generators, the Department also supports the Arts, film production, sports and other special events. For more information, visit www.ChooseMaryland.org.
Backed by Revolution LLC (created by AOL co-founder Steve Case), Alafi Capital, Brain Trust Accelerator Fund, Draper Fisher Jurvetson, Portage Ventures and ZG Ventures, BrainScope is a medical neurotechnology company that is developing a new generation of hand-held, simple-to-use, non-invasive instruments designed to aid medical professionals in rapidly and objectively assessing brain function. BrainScope devices in development are based on a proprietary technology platform, which integrates databases of brainwave recordings with advanced developments in digital signal processing, sophisticated algorithms, miniaturized hardware and disposable headset sensors. BrainScope's initial focus is on traumatic brain injury (TBI) and its milder forms known as concussion. BrainScope's unique device is being developed to meet a long-standing clinical need for improved early identification, staging and triage for head-injured patients. BrainScope devices under development for use in the United States for assessment of traumatically-induced head injury and concussions are for investigational use only and have not been submitted to FDA for premarket review. For more information, please visit www.brainscope.com.