Nabsys will use the capital to support the commercial launch of the company’s semiconductor-based single-molecule positional sequencing system with initial applications in genome assembly and finishing as well as in analysis of structural variation in genomes.

Bay City Capital investment partner William Gerber said the company looks forward about the near term clinical applications of structural variant analysis.

"Structural variants are known to play a significant role in many forms of cancer as well as other diseases, and Nabsys is poised to offer a system that combines superior analytical performance with a simple and fully automated workflow," Gerber added.

The company’s existing investors, including Point Judith Capital and Stata Venture Partners, have also participated in the financing round.

Nabsys president and chief executive officer Barrett Bready said, "Also, because of the scalability of our single-molecule, solid-state, electrical detection technology, we will be able to significantly expand our initial assays and commercialize additional research and diagnostic applications."