STEVENSVILLE, MD—Fund-raising has been tougher for some biotech companies in the down economy, but the medical device space still attracts investors. Vapotherm Inc., a manufacturer of respiratory care devices, has raised a $20.5 million 6th round of funding led by GE Asset Management with Cross Creek Capital, Intergral Capital Partners, and return backers QuestMark Partners and Kaiser Permanente Ventures participating.

Vapotherm products are currently used in neonatal, pediatric and adult applications in hundreds of hospital locations throughout the US and in more than 20 countries worldwide.

The company employs about 50 people and says it will hire another 50.

It raised $11.25 million last November.

The financing will support the Company’s growth plans including new product development, sales expansion and the launch of Vapotherm’s newest acute care device, Precision FlowTM, which recently earned 510(k) clearance from the Food and Drug Administration.

Brian Stansky, managing director of Integral Capital Partners, said, “We are excited about the broad application potential for Vapotherm’s High Flow Therapy system to create multiple franchises in the treatment of respiratory conditions, sleep apnea, and drug delivery.”

“We believe their long term growth prospects are very promising, and we look forward to the introduction of additional breakthrough products in their pipeline,” added Karey Barker, managing director of Cross Creek Capital, a private equity affiliate of Wasatch Advisors.

On the Web: www.vtherm.com

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