By WRAL Tech Wire

RALEIGH, N.C. – Lookout Capital is investing into Contego Medical.

The Raleigh-based provider of growth capital and services will announce on Wednesday a $700,000 investment into Contego as part of the medical device company’s $1.5 million Series A-1 preferred stock financing.

Contego is a Raleigh-based developer of a proprietary platform for embolic protection in angioplasty and stenting procedures. Contego represents Lookout’s second investment since the firm officially opened for business in 2011.

“We are excited about having Contego as our second portfolio company,” said W. Merrette Moore, founder and managing partner at Lookout Capital. “This is a company I have followed for several years, having seen it make terrific progress over that time – particularly within the past 12 months.”

As a part of Lookout Capital’s investment, Moore will work with the company as a consultant and will also participate as an observer to Contego’s Board of Directors. Other Lookout staff, investors and participants will be involved with the company in advisory and consulting capacities.

Contego Medical was co-founded by Dr. Ravish Sachar, a practicing interventional cardiologist with Wake Heart and Vascular, and Dr. Jay Yadav, the inventor of the original embolic protection device, Angioguard, which was acquired by Johnson & Johnson in 1998.

Contego currently has four embolic protection devices developed or in development.

These include Paladin Carotid Post-Dilation System, Vanguard Renal Artery Stenting System, Corguard Coronary Artery Stenting System, and Superficial Femoral Artery (SFA) Balloon Dilation System.

The Paladin, Vanguard and Corguard have already undergone extensive pre-clinical and clinical testing, with Paladin having received a CE mark for use in Europe. The SFA device is currently in development.

“We are thrilled to have Lookout Capital on board as an investor and partner as we look to further advance our novel embolic protection device platform,” commented Dr. Sachar, Contego’s co-founder and CEO, “Lookout’s expertise in helping companies build a quality business, along with the firm’s strong network, should prove invaluable to us in both the short and long term.”

Proceeds from the financing will be used primarily to further develop the company’s devices, to pursue additional regulatory approvals, and to strengthen its intellectual property portfolio.