NORWALK, CT – GE Capital and GE Healthcare have announced an investment in NanoString Technologies, Inc., a privately held provider of life science tools for translational research and developer of molecular diagnostics.
The investment is being made through the GE Healthymagination Fund, an equity fund that makes investments in highly promising healthcare technology companies, and is aligned with GE Healthcare’s commitment to spend $1B in new oncology research and development over the next five years. Financial terms of the transaction were not disclosed.
[See also: GE launches multi-pronged $1B cancer initiative.]
NanoString’s instrument platform, the nCounter Analysis System, is a fully automated platform for digital gene expression and other applications requiring the detection and counting of single molecules. Academic and industry researchers use the nCounter for a variety of translational medicine applications, including biomarker discovery and validation.
A diagnostic version of the nCounter is being developed by NanoString for use in pathology and hospital laboratories worldwide. Oncology will be the immediate area of clinical focus for NanoString and they are currently investing in the development and clinical validation of proprietary diagnostic tests that aim to reduce cost and improve the overall quality of cancer care. NanoString’s distributed diagnostic approach has the potential to bring molecular pathology to parts of the world in which it has been previously unavailable.
[See also: GE Healthcare acquires Steady State Imaging.]
”GE Healthcare shares our commitment to providing cancer patients and their physicians worldwide with information that enables them to individualize treatment,” said Brad Gray, president and CEO of NanoString Technologies. “We are delighted that our technology and business model have captured GE’s attention and support.”
Officials say the investment in NanoString reflects GE Healthcare’s continuing interest in life science tools, medical diagnostics solutions and the growing area of personalized medicine.
As an investor, GE Healthcare will look for various ways to work with NanoString that complement the strategic objectives of its Healthymagination initiative, and will not gain rights to NanoString’s technology or products as part of the investment.
“NanoString is a good strategic fit with GE Healthcare, given our common focus on oncology,” said Pascale Witz, president and CEO of GE Healthcare’s Medical Diagnostics business. “GE Healthcare’s growing personalized medicine portfolio encompasses a wide range of diagnostic tools and solutions. We believe NanoString’s nCounter system gives researchers the potential to take basic biomarker discoveries into the clinic. We look forward to exploring ways to collaborate with the NanoString team.”
“NanoString’s platform presents great promise for researchers to be able to discover and validate the biomarkers of disease, particularly cancer,” added GE vice president and GE Healthcare chief technology officer Mike Harsh. “This investment aligns with our strategy to fund innovations focused on reducing cost, increasing access and improving quality in healthcare.”
