WALTHAM, Mass.--(BUSINESS WIRE)--Corindus Vascular Robotics, Inc. (NYSE MKT: CVRS), a leading developer of precision vascular robotics, announced today that it has entered into a Securities Purchase Agreement pursuant to which it will issue and sell an aggregate of 67,941,346 shares of its common stock in a private placement at a purchase price of $0.6616 per share, resulting in aggregate gross proceeds to the Company of approximately $45,000,000. The closing of the transaction, which is subject to customary closing conditions, is expected to occur on or before March 15, 2017.
Corindus intends to use the proceeds of the offering for general corporate purposes including global commercialization of its recently FDA-cleared next-generation CorPath® GRX System to capitalize on the potential $4.5 billion worldwide vascular robotics market.(1)Corindus is currently the only company developing and offering robotic solutions for coronary and peripheral vascular interventions performed in cath labs. The Company believes this offering will enable it to fund ongoing growth and will enhance the Company’s ability to optimize the potential of its new products and capabilities.
The financing round involved a syndicate of top tier healthcare investors. New investors include Boston Scientific Corporation [NYSE: BSX], a leading worldwide developer, manufacturer and marketer of medical devices; BioStar Ventures, a strategic venture capital partnership of key interventional cardiologists focused on accelerating value creation for medical device technologies in the cardiovascular space; Consonance Capital, a private investment firm specializing in healthcare; and Hudson Executive Capital, LP, a private investment firm that provides strategic capital and operational insight for small and mid-cap public companies. Existing investors, HealthCor Partners Management, Corindus’ largest shareholder, and Royal Philips [NYSE: PHG, AEX: PHIA], a global health technology company, also participated in the financing.
“We are pleased to announce this financing and appreciate the support of our new and existing investors,” said Mark Toland, President and Chief Executive Officer of Corindus. “The additional capital will allow us to continue the momentum created by strong interest in the recent launch of our next-generation CorPath GRX System and our expansion into Japan with an exclusive distribution agreement with MC Healthcare, Inc., a subsidiary of Mitsubishi Corporation.”
About Corindus Vascular Robotics, Inc.
Corindus Vascular Robotics, Inc. is a global technology leader in robotic-assisted vascular interventions. The company's CorPath® System is the first FDA-cleared medical device to bring robotic precision to percutaneous coronary interventions. During the procedure, the interventional cardiologist sits at a radiation-shielded workstation to advance guide catheters, stents, and guidewires with millimeter-by-millimeter precision. The workstation allows the physician greater control and the freedom from wearing heavy lead protective equipment that causes musculoskeletal injuries. With the CorPath System, Corindus Vascular Robotics brings robotic precision to interventional procedures to help optimize clinical outcomes and minimize the costs associated with complications of improper stent placement during manual procedures. Corindus stands behind its product with its unique $1,000 hospital credit "One Stent Program." For additional information, visit www.corindus.com, and follow @CorindusInc.
