Inlet Medical Inc. Completes $850,000 Private Placement

EDEN PRAIRIE, Minn., Dec. 10 /PRNewswire/ -- Inlet Medical Inc., a privately held medical device company that develops and markets products for pelvic reconstructive surgery for women, has closed on $850,000 of Series D-1 Participating Preferred stock, for a total of $1.85 million of this round to date. Investors in the transaction are Ascent Medical Technology Fund, a venture capital fund based in New York, and Quatris Fund, a Minneapolis venture capital fund focused on early stage companies primarily in the Upper Midwest and Minnesota. Ascent Medical Technology Fund is a previous investor in Inlet Medical.

"Given the difficult market conditions over the last several months, we are especially pleased to have this investment in Inlet Medical," said Lee Jones, Inlet Medical president and chief executive officer. "These funds do not complete this round of financing but will take Inlet Medical a long way toward profitability. We plan to use the proceeds from this private placement to expand our sales force and launch the ELEVESTŪ surgical procedure kit, our third product, in theU.S. market."

Inlet Medical received 510(k) marketing clearance for the ELEVEST kit from the U.S. Food and Drug Administration in September and introduced the kit at the Congress of the American Association of Gynecological Laparoscopists in November. The kit is designed to make it faster, simpler and easier for surgeons to shorten and strengthen the uterosacral ligaments, a common surgical procedure. These ligaments support the pelvic organs and weakened ligaments can lead to a variety of gynecological problems. Women who are undergoing a hysterectomy or who want an alternative to a hysterectomy may benefit from this procedure.

About Inlet Medical, Inc.