SurgiVision (SRGV), a medical device company focused on the development and commercialization of technology that enables physicians to see inside the brain and heart using MRI, is expected to price its IPO imminently.
Business Overview (from prospectus)
We are a medical device company focused on the development and commercialization of technology that enables physicians to see inside the brain and heart using direct, intra-procedural magnetic resonance imaging, or MRI, guidance while performing minimally invasive procedures. Utilizing hospitals’ existing MRI suites, we believe that our marketed products and our product candidates will deliver better patient outcomes in shorter procedure times, enhance revenue potential for both physicians and hospitals, and reduce costs to the healthcare system. .
Millions of people suffer from brain and heart diseases and disorders. While some patients can be treated with medication, some will require surgery. Current surgical interventions include both open and minimally invasive procedures. Given the option, patients, physicians and hospitals prefer minimally invasive procedures over open procedures. However, because of restricted visibility of the patient’s anatomy, surgical field and instruments, minimally invasive alternatives for some procedures in the brain and heart are either unavailable or exceedingly complex.
Offering: 2.5 million shares at $9-$11 per share. Net proceeds of approximately $10 million from this offering will be used for funding R&D activities and approximately $10 million for sales and marketing activities.
Lead Underwriters: Rodman & Renshaw (RODM), Canaccord Genuity
Revenues were $650,000 for both the three months ended March 31, 2010 and 2009...Research and development cost inreased 16%, and was approximately $1,747,000 for the three months ended March 31, 2010, compared to approximately $1,502,000 for the three months ended March 31, 2009... General and administrative expenses increased 67%, and were approximately $1,012,000 for the three months ended March 31, 2010, compared to approximately $606,000 for the three months ended March 31, 2009...Net loss was $2,515,712 for the three months ended March 31, 2010, compared to $1,424,913 for the three months ended March 31, 2009...
The length of time required for products to be developed and to receive regulatory and, in some cases, reimbursement clearance or approval is an important competitive factor. However, even if we are successful in obtaining regulatory clearances or approvals, the medical device industry is characterized by rapid and significant technological change. Thus, the development by others of new treatment methods, including novel drugs, medical devices or surgical techniques could render our product candidates non-competitive or obsolete. As a result, product development involves a high degree of risk and there can be no assurance that our current or new product development efforts will result in any commercially successful products.
Our success depends on convincing hospitals, neurosurgeons, neurologists and patients to utilize our ClearPoint system. Currently, we are not aware of any other company that offers a direct MRI-guided stereotactic system for neurological interventions, although two companies, Monteris Medical Inc. and Visualase, Inc., do offer devices for laser ablation under direct MRI guidance. However, we do face competition from companies, such as BrainLAB AG, Elekta AB, FHC Inc. (EJXB) and Medtronic, Inc. (MDT), which offer instruments and systems for use in conventional stereotactic neurological procedures, such as surgical navigation workstations and frame-based and frameless stereotactic systems. Additionally, we could also face competition from other medical device and pharmaceutical companies that have the technology, experience and capital resources to develop alternative therapy methods, including MRI-guided technologies. Many of our competitors have substantially greater financial, manufacturing, marketing and technical resources than we have.
- Company website
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