InnoMed venture capital fund, of the
group, recently announced it has invested $3.6 million in Glucon, a firm that has developed a new non-intrusive blood component measuring system.
Glucon's system accurately measures the level of glucose in the bloodstream, without the need for conventional needles and test tubes. The process lets the growing number of diabetics painlessly conduct their own glucose level tests, in real time, in the comfort of their own home.
Glucon's founders include Israelis Ron Nagar, (also a founder of Ultraguide, a medical equipment company) and Dr. Benny Pessach. The two founded the company in July 2000. They currently employ just 7 workers.
The money raised by Glucon is meant to meet the firm's funding requirements for at least the next two years. During this period, Glucon's efforts will focus on conducting feasibility studies and the company is not likely to grow significantly during this period.
Although most of Glucon's competitors are trying to develop non-invasive blood testing utilizing infra-red radiation technology, Glucon's R&D focuses on utilizing photo acoustics, which is the relationship between light and sound. At present, however, Glucon's management is keeping the details of its R&D efforts under wraps.
Also funding Glucon is EVP, a private European organization, which regularly finances equipment for startups in return for stock options.
InnoMed is one of three greenhouse funds recently set up by Shlomo Kalish's Jerusalem Global Ventures. The fund provides financing for start-up companies in the medical equipment and biotechnology sectors. To date, the fund has invested in three start-ups.
The three funds in the group manage an accumulated capital of $200 million, divided between InnoMed, telecommunication fund CommLaunch, and Internet expert NetLaunch. Companies which have invested in the group so far include:
(Nasdaq:ECIL), among others.