USVP Leads Nervonik’s $13 million Series A Round

Nervonik, a medical device company developing an opioid-free peripheral nerve stimulation (PNS) system, has closed a $13 million Series A funding round. PNS involves applying highly controlled electrical currents to nerves in the body, which modulate pain signals and provide pain relief. The round was led by U.S. Venture Partners (USVP), with participation from Foothill Ventures, Correlation Ventures, and other investors.

Nervonik’s proprietary wirelessly powered PNS system is designed to provide minimally invasive, patient-friendly therapy by delivering electrical stimulation to targeted nerves. The company’s technology utilizes wireless power transfer to operate without implanted batteries and features closed-loop sensing to automatically adjust stimulation levels based on the patient’s needs, offering personalized pain relief. The system is primarily used by patients suffering from chronic pain, as well as healthcare providers specializing in pain management, neurology, and rehabilitation.

 The proceeds from this Series A round will be used to advance Nervonik‘s clinical studies, accelerate regulatory clearance, and prepare for commercialization efforts.

One potential application of PNS technology is in treating post-surgical pain. For example, a patient who has undergone knee replacement surgery and experiences persistent pain might receive a wirelessly powered PNS implant. This small device would be implanted near the affected nerves and activated externally to modulate pain signals, reducing discomfort without the need for opioids.

Another possible use case is neuropathic pain management, such as for patients with diabetic neuropathy or post-amputation phantom limb pain. Instead of relying on medication, a physician could implant Nervonik’s system near the tibial or sciatic nerve to help regulate abnormal nerve activity and provide long-term pain relief.

Because Nervonik‘s system is wirelessly powered, it eliminates the need for bulky batteries or frequent surgical replacements, making it a more patient-friendly and minimally invasive option compared to traditional neurostimulation implants. With chronic pain affecting over 50 million people in the U.S. alone, Nervonik‘s technology offers an alternative to traditional pain management methods, targeting a multibillion-dollar market opportunity.

Los Angeles-headquartered Nervonik was founded in 2020 by Aydin Babakhani, PhD, who also serves as the company’s CEO. “We are excited to receive this strong support from top institutional investors as we push forward in advancing peripheral nerve stimulation technology,” said Dr. Babakhani. “This financing advances our mission to bring a novel solution to millions of people suffering from chronic pain.”

Nervonik completed its first-in-human clinical study of its PNS technology in December 2024. The study was conducted at Punta Pacifica Hospital in Panama City, Panama, and involved patients with chronic shoulder or knee pain.

The Series A round follows Nervonik‘s earlier $4.4 million in SAFE (Simple Agreement for Future Equity) and convertible note financings from Shangbay Capital, Camford Capital, Joyance Partners, Life Science Angels, Seraph Group, and other investors. SAFE financings allow startups to raise capital without immediately issuing equity or taking on debt. A SAFE contract grants the investor the right to receive equity in the company at a future date, typically when a specific event occurs, such as a funding round at an agreed-upon valuation or a liquidity event.

Menlo Park-headquartered U.S. Venture Partners was founded in 1981 and invests in early-stage companies across various technology sectors, including enterprise software, security, consumer internet, mobile, and healthcare. The firm’s most recent fund, USVP XIII, closed with $400 million in capital in December 2022.