Parcus Medical LLC, a manufacturer of orthopedic implants and other devices used in sports medicine, plans to raise $3.75 million from the private sale of its stock, according to a filing with Securities Exchange Commission.
The private company, based in Sturgeon Bay, was founded in 2007 and began operating in 2008, said Mark Brunsvold, Parcus Medical’s president and one of its founders. It now has sales of more than $2 million a year.
Parcus Medical makes anchors, screws and other devices used to reattach tendons and in other orthopedic procedures, and operates a factory in Sturgeon Bay. Its name is Latin for “economical” or “thrifty” and the company has focused partly on making implants and devices that cost less than competing products.
Devices used in orthopedic procedures can cost thousands of dollars each.
The company plans to use the proceeds from the private placement – the sale of stock to a limited number of people – to expand its product line, Brunsvold said.
Its existing stockholders are expected to buy some of the additional stock, he said, and the private placement is expected to close within six weeks.
Brunsvold and other founders, including Dennis Donnermeyer, vice president of research and development, and Bart Bracy, vice president of marketing and product development, previously worked for Arthrex Inc., a privately held company that makes products for orthopedic procedures.
Arthrex, based in Naples, Fla., sued Parcus in April 2010 on allegations of stealing trade secrets. That lawsuit is pending.
Brunsvold was vice president of manufacturing for Arthrex and left in 2003, according to the Naples News. He was previously founder of a machining company that Arthrex bought in 2001.