Backdrop
Client A is a private diagnostics company focused on developing diagnostic tests for the advancement of gastrointestinal health.

Their FDA-approved test, used in combination with leading industry PCR technology, leverages a proprietary RNA-based biomarker platform to screen for colorectal cancer and advanced adenomas in average-risk individuals over the age of 45.

Client A has distribution agreements with a global leader in laboratory services to broaden the availability of their test and enable providers to order the test as part of comprehensive screening programs.

Gilmartin IR Challenge & Opportunity

• Gilmartin Group was retained to advise a late-stage fundraising round for Client A’s cancer diagnostics business with a goal of diversifying current investor syndicate and developing key relationships for future financing rounds.
• Proceeds to be used for launch and commercialization of FDA-approved at-home cancer screening test and continued investment in R&D pipeline for inflammatory bowel disease.
• Previously, Client A successfully closed a Series B financing through a combination of debt and equity used to support pivotal clinical trial, regulatory pathway to FDA approval and expand product pipeline.

Gilmartin Strategy

• Craft clear and concise messaging that leverages positive results from pivotal clinical trial and FDA approval to best position product in the cancer diagnostics market
• Create investor presentation that reflects technology differentiation, total addressable market, reimbursement pathway and corporate/commercial strategy
• Identify key financial, commercial, and reimbursement KPI’s for next 12 to 24 months
• Leverage database of more than 500 private investor contacts to target key growth funds, strategics, private equity, venture and crossover investors
• Control narrative of technology platform to demonstrate differentiated market position from sector peers Support management on CMS discussions for payor coverage

Gilmartin Tactics

Gilmartin Group performed the following activities, which led to a successful close to Series C financing:

• Reviewed current investor syndicate and cap table
• Identified and facilitated intro and follow up meetings with new investors deploying private capital in the cancer dx space
• Advised on financial model to reflect historic performance and forecasted growth
• Created Q&A documents to prepare management for investor questions through diligence process
• Refined and drafted responses to diligence questions and inbounds from sell-side analysts
• Advised on news releases with an eye toward investor audience 
• Managed data room materials and monitored investor activity
• Collected feedback from investors around messaging and positioning used to counsel management
• Introduced and cultivated relationships with sell-side analysts and bankers
• Built IR events calendar to increase investor visibility and leverage in-person meeting opportunities
• Provided weekly progress updates on investor activities and fundraise

Results

Client successfully closed $105M Series C financing at a 2x multiple of previous round led by new investors with participation from key existing investors

• Formed scientific advisory board comprised of leading physicians to provide strategic input on product development
• Expanded commercial leadership team, adding industry leaders with tenured experience in commercial operations and strategy
• Developed more than 10 relationships with investors interested in participating in next financing round

INVESTOR INTRODUCTIONS

• Facilitated more than 75 investor introduction meetings with 48 going under NDA and entering data room
• Introductions facilitated by Gilmartin accounted for ~50% of new capital raised

NEW INVESTORS

• Added 3 new investors to cap table as a direct result of Gilmartin Group introductions