Date: Dec 09, 2010 Author: Stan Diel Source: (
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The business plan for a startup recently spun out of UAB offers an inside look at the genesis of a biotech company.
Endomimetics LLC is developing a coating for stents that mimics the lining of blood vessels. Preliminary research shows that means less scar tissue, clotting and re-narrowing of arteries, lessening the likelihood that additional surgery will be necessary. Co-founded by UAB cardiologist Dr. Brigitta Brott and Ho-Wook Jun, an assistant professor in biomedical engineering, the company is seeking $5.1 million in financing.
They're looking for $1.2 million to cover the cost of facility set-up and $3.9 million for expenses through 2014.
According to its business plan, the company expects $10,000 in revenue this year, $1.2 million by 2013 and $15 million by 2016. It would turn a profit for the first time in 2015, when it gets its first royalty payments from licensing the technology, the plan predicts.
The market for vascular stent coatings is valued at $500 million, but the technology is expected to have other applications.
Under "exit strategy" the plan suggests that as new applications are developed the spin-off could itself spin off new companies. Those spin-offs or the entire company could be acquired by a larger, established firm, the plan says.
Endomimetics has opened offices at the Innovation Depot, a downtown incubator affiliated with UAB.
