Market Overview

Outset Medical Closes $132 Million Financing to Accelerate Launch of Tablo Hemodialysis System


Novel technology designed to reduce the cost and complexity of
dialysis and transform the patient care experience

Outset Medical, a commercial-stage company delivering first-of-its-kind
technology into the growing global dialysis market, today announced that
it raised $132 million in a Series D equity financing. The round was led
by new investor Mubadala Investment Company, Abu Dhabi's leading
investment company, active in numerous sectors and more than 30
countries around the world. Existing investors Baxter Ventures, the
venture capital arm of Baxter International, Fidelity Management and
Research Company, Partner Fund Management LP, Perceptive Advisors, funds
advised by T. Rowe Price Associates Inc., and Warburg Pincus also
participated in the equity round.

The company will use the proceeds from the financing to increase
production capabilities and accelerate commercial expansion of its Tablo®
Hemodialysis System in acute and chronic care markets in the
United States. Designed to reduce the cost and complexity of dialysis,
Tablo expands how, when, and where dialysis can be provided.

"Our investment in Outset Medical represents an exciting opportunity for
Mubadala, as it is aligned with our goal of improving people's lives
while meeting a major global market need," said Camilla Macapili
Languille, Senior Vice President of Pharma & Medtech at Mubadala. "We
selected Outset Medical as our first U.S. private medtech investment
because of Tablo's ability to significantly improve global dialysis care
and address one of the biggest areas of worldwide healthcare spend with
very disruptive and innovative technology."

Dialysis is delivered to more than 500,000 U.S. patients several times
per week to remove waste products and excess fluid from patients with
kidney failure. Although more than 91 million dialysis treatments take
place in the United States each year at an estimated annual cost of $65
billion, little meaningful technology or service model innovation has
been introduced in decades.

Tablo was designed to transform this large, but stagnant, dialysis
landscape. With real-time water purification and dialysis fluid
production integrated in a single, compact system, Tablo functions like
a dialysis clinic on wheels. Requiring just an electrical outlet and tap
water to operate, Tablo frees providers from having to rely on expensive
clinic infrastructure, enabling on-demand, cost-effective dialysis in a
range of different use environments. Tablo was designed to look and feel
like an intuitive consumer product, keeping end-user simplicity in mind.
Wireless data, sensor-based automation, and an animated touchscreen aim
to make Tablo easy to learn and easy to use for healthcare professionals
and patients alike.

"Tablo offers patients and healthcare providers a new option for more
flexible and convenient dialysis treatment, improving the dialysis
experience while at the same time reducing overall dialysis spend," said
Leslie Trigg, Outset Medical's Chief Executive Officer. "We are grateful
to our investors for the opportunity to significantly impact the future
of dialysis care."

About Outset Medical

Silicon Valley-based Outset Medical is dedicated to technology-driven
service model innovation aimed at reducing cost and transforming the
patient care experience. Outset's Tablo System is CE-marked and
FDA-cleared for use in acute and chronic care settings. In addition to
its acute and chronic care commercial expansion, the company is
conducting a clinical trial to expand Tablo's labeled indication to
include home use. For more information visit
Wilson Sonsini Goodrich & Rosati, P.C. acted as legal advisor for Outset
Medical in connection with the financing.

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