Cavidi has been loaned €10 million by the European Investment Bank for developing a next generation automated resting device for HIV viral load.
Effective HIV monitoring reduces the cost of medication and the risk that a person living with HIV will infect others
This is the first transaction under InnovFin Infectious Diseases, a new finance firm set up for growth companies.
Cavidi’s novel technology for HIV monitoring is designed to work in simple and less sophisticated laboratories, such as a non-cleanroom environment.
These laboratories are common in low and middle-income countries, which are often hit worst by the HIV pandemic.
The new testing device measures the viral load in HIV patients and could contribute to efforts to reduce the growing AIDS epidemic, as maintaining a low viral load reduces the chances of transmission of the virus.
The company expects to launch this next generation HIV viral load monitor during 2016.
It hopes to quickly gain a significant share of the market for HIV diagnostics in near point of care centres.
This EIB operation, under InnovFin Infectious Diseases, is the first of its kind and supported by the new generation of financial instruments for innovative and growth companies, InnovFin – EU Finance for Innovators, with the financial backing of the European Union under Horizon 2020.
The aim of InnovFin Infectious Diseases is to allow the EIB to fund high-risk projects in the area of infectious diseases, where the risk is linked to the successful development of innovative vaccines, drugs or medical devices, and to their future commercialisation.
Jonathan Taylor, EIB Vice-President with responsibility for lending in Sweden, said: “We are pleased to be partnering with Cavidi in this breakthrough operation as it will enable the EU bank to support future technologies whose concrete applications will effectively tackle the HIV pandemic.
“With this first InnovFin Infectious Diseases loan we confirm our commitment to providing easier access to finance, especially for higher-risk projects, in the medical sector.
“Projects like this strengthen the competitiveness and boost the innovative capacity of European health-related industries and businesses, so enhancing Europe’s position as a major technology supplier and supporting skilled employment opportunities.”