Escala Secures $4.5M in Funding to Accelerate Global Expansion of Its FDA-Approved Medical Device

Rhea-AI Summary

Escala Medical Ltd., a FemTech medical device company specializing in women's health solutions, has secured $4.5 million in funding to accelerate the global expansion of its FDA-approved device for Pelvic Organ Prolapse (POP) treatment.

The funding round includes investment from the EIC Fund, following a €2.5 million grant awarded through the EIC Accelerator program in October 2023, along with participation from private investors in the United States and Israel. The company's flagship Mendit device, which received FDA approval and was commercially launched in 2023, has already been used in hundreds of successful procedures.

The funds will support Escala's commercial operations expansion in the U.S., preparations for European market entry pending CE approval, and international growth through a new distribution agreement covering Southeast Asia. The company currently maintains a direct sales team in the U.S. and is positioned for significant growth in 2025 and beyond.

Positive

• FDA-approved medical device with hundreds of successful procedures completed
• Secured $4.5 million in funding plus €2.5 million grant from prestigious EIC Accelerator program
• Expanding commercial operations in U.S. with direct sales team
• New distribution agreement secured for Southeast Asian markets
• Pending CE approval for European market entry

Negative

• None.

Insights

Healthcare Investment Analyst

Escala's $4.5M funding strengthens commercial expansion of its FDA-approved women's health device, signaling growth in the underserved POP treatment market.

Escala Medical's $4.5 million funding round represents a strategic development in the women's health medical device sector. The investment mix—combining EIC Fund participation following a €2.5 million grant with private capital from U.S. and Israeli investors—provides Escala with diversified financial backing. This capital structure is particularly advantageous for medical device companies navigating the capital-intensive commercialization phase.

The company's focus on Pelvic Organ Prolapse (POP) addresses a significant unmet medical need affecting millions of women globally. Their Mendit device, which has already demonstrated clinical utility with hundreds of successful procedures since its 2023 FDA approval and commercial launch, aims to shift treatment from hospital settings to doctor's offices—a potential paradigm shift in care delivery that could substantially reduce healthcare costs while improving accessibility.

The funding allocation strategy is well-balanced: strengthening U.S. commercial operations where regulatory approval is already secured, preparing for European market entry pending CE approval, and expanding into Southeast Asia through a distribution partnership. This three-pronged geographic approach maximizes near-term revenue potential while establishing infrastructure for future growth markets.

The EIC Fund's backing, which is highly selective, provides both financial resources and regulatory credibility that could accelerate institutional adoption and physician acceptance. With a direct sales team already operating in the U.S. and demonstrable clinical performance, Escala has established the foundational elements required for commercial scaling in the women's health market segment—a sector that has historically been underfunded but is gaining increased investor attention due to its significant market potential.

 Co-financing by the EIC Fund to ramp up women's health solution to POP

MISGAV, Israel, June 30, 2025 /PRNewswire/ -- Escala Medical Ltd. ("Escala"), a medical technology company specializing in innovative repair solutions for women with Pelvic Organ Prolapse (POP), today announced the successful completion of a $4.5 million funding round. The investment included the EIC Fund, following a €2.5 million grant awarded to Escala in October 2023 through the prestigious EIC Accelerator program. The round also included participation from private investors in the United States and Israel.

The funds will be used to expand Escala's commercial operations in the U.S., where the company's flagship device has been FDA-approved and commercially launched in 2023. To date, hundreds of successful procedures have been performed using the device. The funding will also support preparations for market entry into Europe, pending CE approval, as well as additional international growth through a newly signed distribution agreement with a Singapore-based partner covering Southeast Asia.

"This funding marks an important milestone as we continue to scale our operations and bring our breakthrough technology to more women worldwide," stated Dr. Edit Goldberg, CEO of Escala. "We're proud to have the support of the EIB and our private investors, and we remain committed to advancing the next generation of our Mendit device to improve outcomes and expand access to millions of women worldwide who suffer from organ prolapse."

"Being selected for the EIC Accelerator and receiving both a grant and equity investment from the EIC Fund is a major vote of confidence in our technology, our team, and our vision. These programs are among Europe's most prestigious and competitive — and we are honored to be among the few companies chosen," added Robert D. Auerbach, M.D., Chair of Escala.

"The EIC Fund is proud to support visionary companies like Escala. Their work exemplifies the transformative potential we aim to nurture through the EIC. This marks a significant milestone in their journey to bring much-needed innovation to women's health," said Svetoslava Georgieva, Chair of the EIC Fund Board.

Escala currently has a direct sales team of representatives operating in the U.S., and with strong clinical performance, growing international demand, Escala is positioned for significant growth in 2025 and beyond.

About Escala Medical
Escala, a FemTech medical device company, is a portfolio company of The Trendlines Group Ltd. (SGX: 42T) (OTCQX: TRNLY). Escala is committed to offering its groundbreaking repair alternative for women at all stages of pelvic organ prolapse. By shifting the point of care from the hospital to the doctor's office, Escala is committed to transforming the treatment paradigm for pelvic organ prolapse worldwide.   

About EIC Fund 

The European Innovation Council Fund from the European Commission is an agnostic Fund: it invests across all technologies and verticals, and all EU countries and countries associated to Horizon Europe. It provides the investment component of the EIC Accelerator blended finance. The European Investment Bank acts as investment adviser to the EIC Fund. 

The EIC Fund aims to fill a critical financing gap and its main purpose is to support companies in the development and commercialisation of disruptive technologies, bridging with and crowding in market players, and further sharing risk by building a large network of capital providers and strategic partners suitable for co-investments and follow-on funding.  

The Fund pays particular attention to the empowerment and support of female founders as well as the ambition to reduce the innovation divide among EU countries.

Photo: https://mma.prnewswire.com/media/2721711/Escala_Medical_Ltd.jpg

Media Contact:
Edit Goldberg
CEO, Escala Medical
edit@escalamedical.com 

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SOURCE Escala Medical Ltd.

FAQ

What is the total funding secured by Escala Medical in its latest round?

Escala Medical secured $4.5 million in funding, which includes investment from the EIC Fund and private investors from the United States and Israel.

What is Escala Medical's main product and what does it treat?

Escala Medical's main product is the Mendit device, which is FDA-approved for treating Pelvic Organ Prolapse (POP) in women.

When did Escala Medical receive FDA approval for its device?

Escala Medical received FDA approval and commercially launched its device in 2023, with hundreds of successful procedures performed since then.

What are Escala Medical's expansion plans with the new funding?

Escala plans to expand U.S. commercial operations, prepare for European market entry pending CE approval, and grow internationally through a new distribution agreement in Southeast Asia.

How much grant funding did Escala receive from the EIC Accelerator program?

Escala received a €2.5 million grant from the EIC Accelerator program in October 2023.