Axogen Backs Trace Biosciences to Advance Nerve-Imaging Technology

The capital, part of a Series A round, will propel Trace’s lead candidate, Nerve Trace Dx, through crucial Phase II and III trials. The technology utilizes a small-molecule imaging agent that renders nerves visible under near-infrared light, allowing doctors to identify and protect nerves obscured by surrounding tissue during surgery. This real-time visualization aims to reduce accidental nerve damage while improving the precision of nerve repair procedures.

Trace Biosciences, based in Portland, Oregon, received FDA clearance for its Investigational New Drug application in December 2025 and is currently evaluating the platform’s safety in Phase I human trials. Axogen, a leader in peripheral nerve repair, views the partnership as a logical extension of its existing surgical portfolio. According to Axogen CEO Michael Dale, the ability to visualize nerves is a foundational requirement for improving standard surgical outcomes. Connor Barth, CEO of Trace Biosciences, noted that the collaboration provides the necessary resources to scale the technology toward a formal New Drug Application.