Angels invest $885K in startups
An angel investor organization in the region has made a pair of investments totaling $885,000 in growing industries.
Holland-based Grand Angels, a network of angel investors, said today it invested $535,000 in precision cutting systems maker Micro-LAM Technologies and $350,000 in biotech startup HistoSonics.
Both companies will use the investments for product development and expanded testing.
“Michigan and the entire Great Lakes region is a hot location for massive amounts of innovation, much of which has the potential to improve and positively impact our world,” Grand Angels President Tim Parker said. “It is exciting to be involved in companies like Micro-LAM and HistoSonics to help them exceed their goals.”
A new investment for Grand Angels, Micro-LAM is based in Kalamazoo and Battle Creek and will use the $535,000 investment to spearhead a $1.75-million Series A round of funding. The funding will also be used to hire more sales and engineering staff to facilitate expansion into emerging markets.
Micro-LAM uses technology originating from Western Michigan University to develop laser-assisted precision cutting systems for computer-aided manufacturing with advanced engineering materials, such as ceramics and advanced optics.
In its first year of operations, Grand Angels said Micro-LAM generated more than $1 million in sales, and in 2017, it is projected to triple that number and move into a new 10,000-square-foot manufacturing facility in Kalamazoo.
Headquartered in Ann Arbor, HistoSonics is a Grand Angels portfolio company and medical device manufacturer focused on developing histotripsy, an ultrasound technology that destroys precise tissues in a patient’s body.
Grand Angels is providing its second investment in HistoSonics, which had its first closing of $8.3 million of an up to $13.3-million Series B round of financing.
Funds from the round will be used to finance a confirmatory study to take its Robotically Assisted Sonic Therapy procedure into liver cancer human trials. The expectation is that HistoSonics can reduce healing time and patient trauma encountered during the procedure.
Since 2004, Grand Angels has invested more than $24 million in startups, with a focus on life sciences, digital media, software and IT, advanced manufacturing and food and agriculture.
In addition to its angel investments, the Grand Angels Venture Capital Fund was launched in 2015 to invest in 12 to 15 new companies and provide follow-on investments for the angel capital firm’s portfolio.