I wanted to provide an update to the status of the company as well as ongoing funding efforts during the current Covid-19 pandemic. During the ramp-up of the pandemic, Sintact Medical was able to provide surplus PPE to a New York Hospital (above). While there was not a great deal of PPE remaining with Sintact, it was all donated toward the Covid-19 effort.
From a fundraising perspective, Sintact has been quite successful despite the Covid-19 related social and economic impact. Prior to the quarantine occurring Sintact participated in the regional Nexus Pitch Competition and won a Seed Round award in the amount of an $80k dilutive investment. In addition, Sintact also pitched (virtually) to the Community Ideation Fund for Southern Indiana and received a Pre-Seed $20k dilutive award. As a result of receiving the Nexus award Sintact has been invited to pitch in the local Kinetic Investment Summit which will be a virtual event this year. Additional funds will be available, including dilutive awards in the amount of $100k to those pitching at the Kinetic Conference on May 19. Finally, Sintact was also awarded a $5k grant from the Indiana Economic Development Corporation. This grant will go directly toward usability testing with a firm that Sintact has previously worked with. All told, Sintact has brought in $105k in grants and investment in late Q1 to early Q2 of 2020.
Given the current and unprecedented conditions, Sintact will remain open, however, in a scaled-down version to conserve the investment which has been obtained to date. Sintact was able to apply and receive the SBA PPP loan made available through the most recent recovery act. Presently, Sintact is working with it’s CROs to determine lead times and potential delays in testing with which the Bridge Round of investment was meant to cover. However, given the current conditions, we will continue to solicit interest from current and new investors with the realization that some level of investment may be more difficult to acquire.
Sintact will be reaching out to both the new and existing investors to touch base and determine if a contribution to the current somewhat delayed Bridge Round is still feasible. Here again under the circumstances, it is well-understood investor participation may decline. Fortunately, I have been able to attain consultant work as a grant writer in addition to other supplemental work for a number of other medical-related companies. I plan on continuing this work in parallel with Sintact efforts so as to not draw down on the funding recently acquired.
We will continue to keep you apprised of Sintact’s efforts and timelines as more information can be obtained. It is expected there will be a number of delays and obstacles until business as usual or thereabouts is restored in some capacity.
Rest assured all means will be exhausted to continue commercialization work despite the once in a century pandemic.