ReWalk Robotics, an Israeli maker of recently-approved
exoskeletons that enable paraplegics to walk, announced terms for
its IPO on Tuesday. The Yokneam, Israel-based company plans to
raise $50 million by offering 3.4 million shares at a price range
of $14 to $16. At the midpoint of the proposed range, ReWalk
Robotics would command a fully diluted market value of $191
ReWalk received marketing approval in Europe at the end of 2012 and
FDA clearance in June 2014. As of August 1, 2014, the
company sold 81 ReWalk systems. It notes that no uniform coverage
policy currently exists for its exoskeletons and they have been
purchased primarily by self-payors, though the device cost can be
negotiated into accident settlements.
ReWalk had revenue of $950,000 for the six months ended June 30,
2014 from $800,000 in the 1H13, a 19% increase resulting from the
sale of three additional systems. Its gross loss widened 53% to
$425,000, which the company attributes to manufacturing relocation
and higher salary expenses, partially offset by a lower cost per
unit. Operating loss widened 81% to $6.9 million as R&D
expenses doubled and S&M increased by 76%.
ReWalk Robotics, which was founded in 2001 and booked $2 million in
sales for the 12 months ended June 30, 2014, plans to list on the
NASDAQ under the symbol RWLK. Barclays and Jefferies are the joint
bookrunners on the deal.
Exoskeleton maker ReWalk Robotics sets terms for
$50 million IPO
originally appeared on IPO investment manager Renaissance Capital's
web site renaissancecapital.com.
The information and opinions expressed herein were prepared by
Renaissance Capital's research analysts and do not constitute an
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, may have investments in securities of companies mentioned.