Texas Government Adds $3.5M to Fe3 Series B for Anemia Treatment
San Antonio — Fe3 Medical, a startup housed at the InCube Labs facility in San Antonio, has added $3.5 million to the Series B funding round it announced in March, bringing the total to $14.5 million.
The add-on to the Series B came from the state of Texas, which also invested $2.8 million in Fe3 in 2010. Fe3 plans to use the funding for further product development, clinical trials, and to seek regulatory approval of its lead experimental medical device in both Europe and the U.S.
Fe3 says its product can deliver iron to an anemia patient’s bloodstream through a patch on the skin using an electric current. The company is targeting people with anemia who react poorly to iron pills or liquid supplements, which can upset the gastrointestinal system and cause anything from constipation to diarrhea.
InCube was founded in 1995 by Mir Imran, an inventor who holds more than 200 patents, as an incubator for Imran to build businesses from his ideas. Founded in San Jose, CA, InCube has built more than 20 businesses. In 2010, InCube opened a San Antonio office, in part incentivized by state and local government money to be invested in the incubator.
With this most recent $3.5 million investment, Texas is receiving a seat on Fe3’s board. The government gave its spot to Joseph Siletto, a venture partner at Sweetwater Capital Partners, an Encinitas, CA-based investor that creates private equity-style portfolios for its backers.
Other investors in Fe3 include Jianmin Pharmaceuticals, Hua Gai Medical, Ping An Ventures, and InCube Ventures, the incubator’s investment arm.