BrainsWay, a non-invasive neurostimulation company, has announced a strategic investment in neuromodulation systems developer Neurolief to expand its market reach.
The investment comes as Neurolief is preparing for the US Food and Drug Administration (FDA) approval and commercial launch of ProlivRx for Major Depressive Disorder (MDD).
BrainsWay’s initial $5m convertible loan includes an option to acquire Neurolief.
Neurolief will receive milestone-based funding, an additional $6m upon FDA approval of ProlivRx, and a further $5m equity investment contingent on revenue milestones.
BrainsWay’s phased investment strategy also includes a call option to acquire all of Neurolief’s equity interests.
The option is structured around specified enterprise values or revenue multiples, dependent on acquisition timing.
The collaboration strategically aligns with both parties and aims to broaden access to advanced mental health treatments.
Neurolief CEO Scott Drees said: “This strategic investment by BrainsWay is a strong validation of our science, our team, and our vision.
“This partnership enhances our ability to reach the patients who need our therapy most. BrainsWay’s market presence, deep expertise, and established commercial platform can complement our innovation and momentum.
“Together, we aim to reshape the treatment landscape for depression and expand access to evidence-based, effective care.”
Neurolief is a neuromodulation company developing advanced therapies for mental health and neurological disorders.
Its RelivionMG therapy is currently approved in the US, Europe and Japan for the treatment of migraine.
If approved, the ProlivTMRx therapy will become the first FDA-cleared MDD treatment deliverable outside a clinical setting.
The at-home therapy is said to advance mental health care by bridging gaps in current treatment options.
Focused on advanced non-invasive neurostimulation for mental health disorders, BrainsWay is advancing neuroscience with its Deep Transcranial Magnetic Stimulation platform.
The platform has received FDA clearance for three indications, each backed by pivotal clinical studies showing efficacy in mental health treatment.
BrainsWay CEO Hadar Levy said: “We are very excited with this strategic investment in Neurolief. Upon FDA approval, we believe this technology will significantly expand our addressable market, enabling care for patients who cannot easily access clinics and empowering medical professionals to extend treatment beyond traditional settings.
“This aligns with our strategic goal of accelerating access to and awareness of innovative mental health treatments, especially offerings that we believe are complementary to mental health professionals using our Deep TMS therapy.
“The BrainsWay team has rapidly expanded sales of the Deep TMS system, supported by scaling of our commercial platform and customer network.”
