16 May 2012
Compact Particle Acceleration Corporation Announces Closing of Initial Tranche of Series A Offering Round
Livermore, Calif. – May 16, 2012 – Compact Particle Acceleration Corporation (“CPAC”), a developer of compact proton therapy systems, announced today that it has closed on its initial tranche of $6.5 million of Series A Preferred Stock funding led by Open Prairie Ventures, Endeavors Group and Accuray (NASDAQ: ARAY). The terms of the Series A Preferred Stock financing permit the company to raise up to an additional $8.85 million. The new funding allows the company to accelerate its progress toward the next milestone in the development and commercialization of a highly compact intensity-modulated proton therapy system. Dr. Thomas Mackie, Former Chairman and Founder of TomoTherapy, Inc. and Chris Raanes, Chief Operating Officer of Accuray, have joined the Board of Directors of the company.
Proton therapy is a particularly compelling treatment for pediatric and hard-to-treat cancers, such as those requiring high doses of radiation or tumors that are close to sensitive structures. As a result, the beam energy can be precisely delivered to the tumor volume without seriously harming surrounding tissues or critical organs.
According to Anthony Zografos, Ph.D., CPAC’s Chief Operating Officer, “CPAC is developing the Dielectric Wall Accelerator (DWA), which will serve as the basis for the next generation Proton Therapy System. CPAC’s accelerator is a highly compact system based on the DWA technology developed by Lawrence Livermore National Laboratory (LLNL).”
Zografos continued, “As an example, a 150 MeV system, suitable for the treatment of many cancers, will be approximately 4 meters in length and will fit in an existing radiation oncology facility with relatively minor retrofits. Every other system commercially available today requires a dedicated facility to be built from the ground up frequently at a cost in excess of $100 million. Because of its compact size and low cost of ownership, the DWA has the potential of making life saving proton therapy available to everyone."
Because of the current cost and size of traditional proton therapy systems, this type of therapy is limited to approximately 30 centers around the world. With its pioneering work on developing a compact proton accelerator, CPAC will reduce the cost and size of a treatment facility. A prototype accelerator has been in operation for approximately eighteen months at CPAC’s state-of-the-art facility in Livermore, Calif.
Chris Raanes, Chief Operating Officer of Accuray and new member of the CPAC Board of Directors commented, “Accuray is pleased to be involved with CPAC because we recognize the potential of CPAC’s break-through DWA technology in significantly reducing the cost of Proton Therapy systems worldwide. We look forward to exploring the possibilities in expanding access to treatment for patients who may benefit from proton therapy.”
About Compact Particle Acceleration Corporation
Compact Particle Acceleration Corporation (CPAC) is developing and commercializing a highly compact proton therapy system powered by the dielectric-wall accelerator (DWA), a revolutionary proton accelerator that has a substantially smaller structure and greater flexibility than other systems. This breakthrough in size and power is made possible by three key inventions: a high-gradient insulator that allows for substantial increases in voltage-holding capacity, optical switches that can control high-power loads at ultra high speeds in a very compact size and dielectric materials that are embedded with nanoparticles to facilitate the transmission and isolation of extremely high voltages. For more information, visit www.CPAC.pro.
Accuray Incorporated (Nasdaq: ARAY), based in Sunnyvale, Calif., is the premier radiation oncology company that develops, manufactures and sells personalized innovative treatment solutions that set the standard of care, with the aim of helping patients live longer, better lives. The Company’s leading edge technologies – the CyberKnife and TomoTherapy Systems – are designed to deliver radiosurgery, stereotactic body radiation therapy, intensity modulated radiation therapy, image guided radiation therapy, and adaptive radiation therapy. To date, 635 systems have been installed in leading hospitals around the world. For more information, please visit www.accuray.com.