Our First Investments From Cincytech Fund IV

CincyTech is pleased to announce seed investments in three new Southwest Ohio companies: ReadySet Surgical, Standard Bariatrics, and NaviStone®. These are the first companies to receive investment from the new CincyTech Fund IV, a $30.75M fund which closed in April. “The founders of each of these companies are industry veterans, who are using their experience and expertise to solve problems in innovative ways,” said CincyTech Managing Director Mike Venerable.

NaviStone® provides direct and digital marketers with a revolutionary way to acquire and reactivate customers. Traditional direct marketing contact strategies are based entirely on past purchase behavior, data that loses relevance as it ages. NaviStone® uses proprietary code to incorporate the power of intent, from digital browsing behavior.  NaviStone began as a product line of CohereOne, a California-based marketing agency with a Cincinnati office. Its rapid acceptance drove the decision to spin it into a separate company based in Cincinnati.

“More than 100 companies are already using NaviStone® products. CincyTech’s investment will accelerate sales and product development, with the goal of adding 150- 200 customers in 2016,” said Allen Abbott, Chief Sales and Marketing Officer, who brings more than 28 years of growing successful retail and direct marketing businesses. “Cincinnati is an ideal home for a company like NaviStone, which is based on Big Data,” said NaviStone® CEO Larry Kavanagh. “Cincinnati is well known as a data analytics hub, and the resources and talent here are very attractive.”  

‍ReadySet Surgical is a health technology company that helps hospitals avoid common, costly and preventable surgical delays and errors that occur when instruments or devices are not ready. ReadySet’s software and inventory management platform closes communication gaps that often exist between surgical teams, sterilization departments and medical device vendors.

Keerthi V. Kanubaddi founded ReadySet Surgical to address problems and inefficiencies he witnessed during 12 years as a surgical device sales rep, which at times affected patient care.

“I realized hospitals need a solution, and it needs to be as easy as possible to implement,” said Kanubaddi. “ReadySet is designed to work with a hospital’s current technology providers and the electronic medical record to trace every instrument and implant used to the patient; an industry first.” ReadySet Surgical’s clients include Dayton Children’s Hospital and New England Baptist Hospital in Boston. The investment will enable the company to add to its team of seven, and further develop its product.

Standard Bariatrics is creating surgical instruments that could transform the most popular weight loss procedure, the sleeve gastrectomy. Beginning with a patent-pending clamp, the company is addressing key technical problems by developing tools that allow surgeons to deliver optimal results consistently.

“By providing instruments that give surgeons the ability to standardize their technique, we can reduce procedure time and cost while improving outcomes for patients,” said Dr. Jonathan Thompson of UC Health, who invented the clamp and founded Standard Bariatrics. Thompson and CEO Russ Holscher, who brings more than 25 years of medical technology leadership, head a team of industry veterans with unique experience in developing and launching medical devices.

“Obesity has reached epidemic proportions and bariatric surgery has proven to be an effective treatment. Less than 1% of the patients who qualify currently get surgery,” said Holscher. “Our team is developing devices that make the best procedure more routine and cost effective.” 20 surgeons have signed up to test the reusable clamp and collect data, which should begin in July 2016. A single-use clamp and a stapler are also in development. Financial and other details of the investments will be announced at a later date.

“Fund IV will enable CincyTech to invest in 25 high potential software and life science startups over the next three years,” said CincyTech President and CEO Bob Coy. “We are excited to help entrepreneurs build the next wave of companies in Southwest Ohio.”