PacBridge Capital Partners Backs Avitia with $5M to Advance AI-Powered Cancer Diagnostics

Montréal-based AI health tech startup Avitia has secured $5 million in seed funding from PacBridge Capital Partners to expand its market reach and enhance its cancer diagnostics platform. The company, which provides AI-powered molecular testing solutions, enables laboratories and clinicians to rapidly identify cancer mutations and determine suitable treatments on-site, reducing costs compared to traditional send-out testing.

Avitia’s platform is already in use across Canada, the United States, and Southeast Asia, with over 40,000 cancer mutation tests conducted to date. The company’s launch comes nearly two years after acquiring assets from Imagia Canexia Health, which went bankrupt in 2023. PacBridge, previously a creditor and investor in Imagia Canexia, has now fully backed Avitia’s funding round. CEO James Lumsdaine, a partner at PacBridge, leads both companies.

Avitia’s AI-powered platform allows cancer centers to perform next-generation sequencing (NGS) tests in-house, removing the reliance on expensive and time-consuming external labs. Its modular precision medicine technology offers network-wide insights, enabling oncologists to make informed decisions based on regional and patient-specific data. By cutting turnaround times and reducing costs, Avitia strives to make timely cancer diagnostics more accessible, especially in areas where advanced genomic testing is limited.

CEO James Lumsdaine emphasized Avitia’s mission to make advanced cancer testing accessible and affordable, regardless of geographical or economic barriers. 

Avitia has established collaborations with leading healthcare and research organizations, including the Gynecologic Cancer Initiative, OncoHelix, and the Vancouver Coastal Health Research Institute.

Its liquid biopsy technology has shown promise in detecting cancer recurrence months before traditional clinical, radiologic, and biomarker assessments. A retrospective study led by Dr. Jessica McAlpine at the University of British Columbia demonstrated the platform’s effectiveness in monitoring treatment responses, particularly for aggressive endometrial and ovarian cancers.

The company’s funding structure has drawn attention, as Lumsdaine is both Avitia’s CEO and a partner at PacBridge, its sole investor. While some industry observers have raised concerns over potential conflicts of interest, Lumsdaine maintains that PacBridge fully supports the arrangement. He acknowledged that governance adjustments may be necessary as Avitia seeks additional investors, including possible changes to the board or his involvement in certain decisions.

Avitia is moving forward with a leaner team and strategic collaborations in Québec to drive growth despite broader economic challenges. The company plans to expand beyond its current presence in North America and Southeast Asia while enhancing its platform’s capabilities.

Avitia’s NGS platform identified recurrences of endometrial and ovarian cancers ahead of traditional methods. This early detection capability could enhance patient monitoring and treatment response. Notably, three authors of the study previously worked with Imagia Canexia Health, whose technology Avitia continues to develop.

By leveraging AI-driven precision medicine and collaborating with key partners, the company seeks to expand access to cutting-edge cancer diagnostics. Avitia intends to reduce reliance on centralized laboratories through its modular platform, ensuring that more patients receive timely and cost-effective testing.