GrayMatters Health Closes $10M Round A Funding and Partnership in Japan

Investment Led by Otsuka Medical Devices

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11 Jan, 2022, 15:30 IST

HAIFA, Israel, Jan. 11, 2022 /PRNewswire/ -- GrayMatters Health (GMH) developer of digital self-neuromodulation therapeutics for mental disorders, announced today the successful closing of its $10 million Series A financing round. Otsuka Medical Devices Co., Ltd. (OMD) was the lead investor in this round. In addition to its investment, OMD obtained certain rights with regard to Prism in Japan and other countries in Asia. Additional investors in the Series A round included Joy Ventures, J-Ventures, and J-Impact. Existing GMH investors, Marius Nacht and Joyance Ventures, also participated in the round.

Connecting mental disorders with their underlying brain mechanisms, GMH offers Prism to help patients regain agency over their emotion regulation. Prism is a non-invasive adjunct digital therapeutic that utilizes novel neuroscience-based and brain-mechanism-specific biomarkers. GMH is the first to use machine learning technology to create an Electrical-Finger-Print (EFP) of brain-mechanism-specific biomarkers that are utilized in its proprietary treatment of mental disorders, training patients to employ self neuro-modulation techniques using an interactive audio-visual software.

"GrayMatters is introducing the first digital therapeutic device that directly targets and regulates specific brain biomarkers associated with mental disorders, whereas digitizing existing therapy methods focus on mitigating the resulting symptoms and behaviors," said Oded Kraft, GrayMatters Health Co-Founder and CEO. "This funding round will help GrayMatters Health complete its clinical investigation, obtain clearance from regulatory authorities, and launch Prism for PTSD in the United States. It also supports our collaboration with McLean Hospital, the largest psychiatric affiliate of Harvard Medical School and a member of Mass General Brigham. Together we plan to conduct a clinical investigation to determine Prism's efficacy and safety as an adjunct treatment for Major Depressive Disorder (MDD) with anhedonia."

Prism for PTSD, GMH's first offering, is under clinical investigation in five sites across the United States and Israel, with a potential to serve as an adjunct for standard of care therapy. Fusing Electroencephalogram and functional Magnetic Resonance Imaging data, Prism for PTSD produces a continuous, real-time, and accessible amygdala-EFP biomarker. During treatment sessions, an audio-visual interface responds as patients use self-neuromodulation techniques to downregulate their amygdala-EFP biomarker. The company plans to evaluate the clinical efficacy and safety of Prism for additional mental disorder indications including MDD, Attention Deficit Hyperactivity Disorder, General Anxiety Disorder, Obsessive Compulsive Disorder, and Borderline Personality Disorder.

GMH was represented during the funding round by attorneys Yael Baratz and Inbal Perlstein-Mandelbaum, Senior Partners at Pearl Cohen Law Office.

About GrayMatters Health

Founded by Rani Cohen, Shai Attia and Oded Kraft, GrayMatters Health (GMH) develops digital self-neuromodulation therapeutics for mental disorders to help patients regain agency over their emotion regulation. GMH offers Prism, a non-invasive adjunct therapeutic that utilizes novel neuroscience-based and brain-mechanism-specific biomarkers. The company's first product candidate, Prism for PTSD, is undergoing clinical investigation in five sites across the United States and Israel, to demonstrate its efficacy and safety as an adjunct to standard PTSD treatments. The novel technology was developed by Professor Talma Hendler and her team at Tel Aviv Sourasky Medical Center and Tel Aviv University. Learn more by visiting our website https://graymatters.health/ and following us on LinkedIn and Twitter.