US-based commercial-stage medical technology company Pulmonx has secured $66m in a financing round led by Ally Bridge Group, a leading global life science investor.

New investors including Adage Capital Management, HealthQuest Capital, Partner Fund Management, and Rock Springs Capital, along with existing investors also participated in the financing round.

Ally Bridge Group founder CEO and CIO Frank Yu said: “Ally Bridge is pleased to support Pulmonx in this oversubscribed financing.

“The combination of Pulmonx’ Zephyr Valve System, patient assessment tools, established reimbursement programs, and global commercial footprint positions it as the world leader in interventional COPD procedures.”

Pulmonx will use the financing proceeds to support Zephyr Valve

In addition to the financing, the company has also secured $17m in growth capital through CIBC Innovation Banking to refinance an existing debt facility.

Pulmonx intends to use proceeds from the financing to support the global commercial expansion of the Zephyr Valve System, its FDA-approved minimally-invasive treatment option for severe emphysema, a progressive form of Chronic Obstructive Pulmonary Disease (COPD).

Emphysema is a life-threatening disease that progressively destroys lung tissue, diminishing its ability to breathe and engage in basic daily activities, and leads to further deconditioning.

The Zephyr Valve procedure is conducted through a simple bronchoscopy without an incision or tissue resection, and is clinically proven to improve patients’ breathing, exercise capacity, and quality of life, without the risks of major surgery.

The procedure involves placing of an average of four valves in the airways to block off a diseased portion of the lung.

According to the company, physicians in more than 25 countries around the world routinely use the Zephyr Valves to treat patients with severe emphysema.

In May last year, Ally Bridge Group (ABG) had led an over-subscribed $65m financing of Pulmonx.

Pulmonx CEO Glen French said: “We are pleased to be able to accelerate our efforts to bring our landmark technology to severe emphysema patients who need it.

“The recently secured financing will ensure we are able to continue to scale our commercialization efforts to meet the global demand for our Zephyr Valve System, as well as continue R&D efforts on new minimally-invasive pulmonary treatments.”