First investment in Israeli startup company. GE logo
General Electric eyes Israeli startup
American giant to invest in Check-Cap, which has developed ingestible capsule for early detection of colon cancer
General Electric is investing in an Israeli startup company for the first time: The American giant will invest in Check-Cap, which has developed an ingestible capsule for early detection of colon cancer.
Check-Cap's largest shareholder is the Pontifax fund, which was founded by late Teva CEO Eli Hurvitz. The company was founded in 1995 by entrepreneur Dr. Yoav Kimchy.
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In the past, General Electric bought well-established companies and factories in Israel, led by Elscint Imaging, but this is its first investment in a startup company in Israel.
The Check-Cap capsule diagnoses tumors using X-ray based imaging. The company will soon begin clinical trials in a bid to receive FDA approval. Its price will be similar to that of a capsule produced by another Israeli manufacturer, Given Imaging.
The capsule contains a tiny device that transmits X-rays, with minimal radiation, to the intestinal wall and back. The analysis of distances creates 3D images of the colon's internal surface, enabling the detection of clinically significant polyps within the same range of accuracy as standard colonoscopy. The patent is the minimization of X-rays.
General Electric has known Check-Cap for a long time, following a previous indirect investment in the company. The company also manufactures the transmitters installed inside the capsule.
Oded Meirav, director of GE's technological center in Israel, told Yedioth Ahronoth that the company was chosen due to potential synergy of activity in the field of transmitters and thanks to its potential in handling such a common disease. Ten million Americans are diagnosed with colon cancer every year.
According to Check-Cap CEO Guy Neev, the advantage of the company's capsule is that it does not require any preparation, invasive procedures or sedation as with the competitors' capsule.
