Recently recapitalised to the tune of $20.1 million, the company has commercial partnerships signed up in Australia and Spain.
Chief executive David Darling said the United States market "remains the prize" and the funding will mean the fitting-out and commissioning for a US-based certified laboratory in Pennsylvania.
"The funding will provide the company with enough cash resources to develop the business over the next two to three years," Mr Darling said in the half-year report.
Pacific Edge shares were down slightly at 19c after the news, having edged down from 26c in late-October.
Mr Darling said the $1.7 million loss, which is $300,000 more than budgeted for, was mainly lost through investment in clinical trials, product development and intellectual property costs.
Its Cxbladder product is a quick, non-invasive test measuring the activity of five genes from a small sample of urine to accurately diagnose bladder cancer.
Mr Darling said the US laboratory is designed to deliver 250,000 tests a year, within a market where there are an estimated 1.8 million tests done each year.
He said up to 1 million people a year in the US may require bladder cancer testing, with estimates 63,000 will be diagnosed with cancer.
Those investigations are estimated to cost $US520 million ($NZ679 million) to $US1 billion and Mr Darling said use of Cxbladder could "reasonably be expected" to achieve better patient outcomes and provide cost-savings for healthcare systems.
He said while there were about 15,000 urologists in the US and the "home market" in New Zealand and Australia had about 300 and was "relatively small", development of its commercial laboratory in Dunedin, which can handle up to 35,000 samples, assisted before going to larger and more distant markets.
Pacific Edge is working with the Canterbury Health Board to make its Cxbladder product available under a clinical guideline, where it might become "readily available" to urologists and 400 general practitioners around Canterbury.
"A programme of activity with selected urologists, identified as key opinion leaders, in Australia, Spain and New Zealand has been launched with the start of several product studies," he said.
By early-September, Pacific Edge raised 95%, or $15 million of $16 million sought, to underpin its US expansion, to $20.1 million.
Pacific Edge earlier raised $5.1 million in late-July from a share placement before offering a 3:7 rights issue at 19c per share, garnering $11.4 million.
This, combined with a later shortfall book build totalled $15 million.
Since beginning development a decade ago, and being listed for the past seven years, the company has spent more than $15.7 million on research and development.
For its financial year to the end of March, Pacific Edge booked an after-tax loss of $3.12 million, compared to a loss the year before of $2.52 million.
