8 September 2022 - - US-based medical technology company Otolith Labs has closed a USD 20m series A financing round by Morningside Ventures, the company said.

Building on prior investments from businessman Mark Cuban and leading ENT physicians, the proceeds will be used to support the company's ongoing clinical programs, anticipated FDA approval and first commercial launch of a prescription wearable device using its noninvasive Vestibular System Masking technology for the treatment of chronic vertigo.

Otolith Labs' nVSM technology is designed to provide immediate symptom relief for chronic vertigo. nVSM applies localized mechanical stimulation to the vestibular system through calibrated vibrations.

The company received US Food and Drug Administration Breakthrough Device Designation last year for the prescription treatment of chronic vertigo.

This designation, which can accelerate the development, assessment, and review of medical devices for pre-market approval, is only granted for devices that address an unmet need and show the potential to provide more effective treatment of life-threatening diseases or irreversibly debilitating conditions.

Otolith Labs will soon be enrolling participants for its pivotal study to further evaluate the effectiveness of nVSM as a treatment of chronic vertigo.

In Otolith's pilot studies, which enrolled approximately 100 subjects, nVSM showed an immediate and robust therapeutic benefit over placebo, with those in the active group more than three times as likely to report improved symptoms than those in the placebo group (p < 0.05).

Otolith invites clinical and scientific leaders to join us for the presentation of these results on our scientific poster and at the ENTrepreneur Faceoff showcase at the upcoming American Academy of Otolaryngology-Head and Neck Surgery (AAO-HNSF) 2022 annual meeting in Philadelphia, PA from September 10-14.

Otolith is working closely with a leaders of the otolaryngology and medical community to ensure the rapid development and future adoption of this groundbreaking therapy to improve patients' lives.

Otolith Labs is developing prescription medical devices for the treatment of vestibular disorders, conditions experienced by millions of Americans.

Its flagship product, a patented noninvasive Vestibular System Masking technology, is intended to be the first prescription wearable device for the treatment of chronic vertigo, a symptom that affects more than 4m Americans. 

The device, which received Breakthrough Device Designation from the FDA, uses precisely tuned vibrations to interact with the acceleration sensors in the inner ear, mitigating the symptoms of vertigo.

Otolith is conducting clinical trials to evaluate its nVSM technology as an immediate symptom relief treatment for chronic vertigo associated with vestibular disorders.

Founded in 1986 by the Chan family, Morningside is a technology and life science venture investment firm.

The firm has offices in Boston, Shanghai and London.