Neuronetics completes Series E, raises $30M

Malvern, PA-based Neuronetics, which makes the NeuroStar transcranial magnetic stimulation therapy system for the treatment of major depression, has completed its Series E financing, totaling $30 million. Two new investors, Polaris Venture Partners and Pfizer Venture Investments, led the round. Previous investors Investor Growth Capital, New Leaf Venture Partners, Interwest Partners, Three Arch Partners, Quaker BioVentures and Onset Ventures also participated in the round.

"Pfizer has had a longstanding interest in treating depression," Pfizer Venture Investments Elaine Jones said in a Neuronetics statement. "We look at Neuronetics' progress as the beginning of a potentially important advance in how we treat this often debilitating, chronic and costly disease. We are excited about supporting Neuronetics' effort to bring a new and innovative solution to psychiatry."

Neuronetics has marketed the NeuroStar TMS system for the treatment of major depression for patients who have not adequately benefited from prior antidepressant medication since it was cleared by the FDA in October 2008. The company has planned for clinical trials for PTSD and traumatic brain injury patients. Military hospitals are also considering using it for phantom limb pain in amputee victims.

- get the Neuronetics release