UL spinout company Ostoform, a specialist medical device company, has closed a €3 million equity investment led by BGF, Ireland’s largest growth capital investor.
Now based in Mullingar in Co. Westmeath, Ostoform designs and manufactures medical seals for use with patients who have received a colostomy, Ileostomy or urostomy. The company is led by CEO and founder Kevin Kelleher and based on research undertaken in collaboration with co-founders Rhona Hunt and Professor Leonard O’Sullivan at the Design Factors Research Group, School of Design, at University of Limerick.
Earlier this year, Ostoform was awarded a grant of €2.7 million via the Disruptive Technologies Innovation Fund (DTIF) to support the development of the company’s product pipeline which means the company now has almost €6 million to support growth and development.
Ostoform’s key product currently is the Ostoform Seal used by ostomy patients. The UL patented Ostoform Seal has been shown to significantly reduce the risk of skin complications, positively impacting patient quality of life. The product is exported globally, with a particular focus on the US where it is being distributed by Medline.
In addition to the investment from BGF, this equity round has been supported by Enterprise Ireland and existing investors including HBAN MedTech who first invested in Ostoform as the company spun out of the University of Limerick in 2018.
Ostoform is no stranger to awards, having received the Enterprise Ireland Commercialisation fund and won Best University Spin-Out at the InterTrade Ireland Seedcorn Investor Readiness Competition, and the One to Watch Award at the Enterprise Ireland Big Ideas event.
Kevin Kelleher, CEO of Ostoform said: “This is a landmark equity raise for us which will enable us to capitalise on growing international opportunities for our existing and pipeline products. We are delighted to have the support of BGF as we take the next steps on our journey.”
Prof Norelee Kennedy, VP Research said: “Ostoform is a great example of Irish innovation in the MedTech sphere, with their solutions having the potential to significantly improve the daily qualify of life for ostomy patients.”
Paul Dillon, Technology Transfer Office Director at UL, added: “This is a great example of the Irish knowledge transfer system pulling together to develop a solution that addresses a significant clinical issue. The project received vital funding under the Enterprise Ireland Commercialisation Fund and also received important support from the Bioinnovate Programme.”