ReWalk readies for $147m Nasdaq secondary offering

ReWalk management

The robot medical device wheelchair replacement developer's planned offering includes a $47 million sale by shareholders.

Ra'anana-based medical devices company ReWalk Robotics Ltd.(Nasdaq:RWLK) is revising its shelf prospectus for a debt offering of up to $100 million. That prospectus was issued in October, but the company has since begun reporting as a US company, and is therefore revising its shelf prospectus to comply with the rules applying to its new status.

Under the revised version, in addition to a possible $100 million debt issue, company shareholders can sell 4.4 million shares at their current value of $47 million. ReWalk says that it plans to use the money from the issue (if it takes place) for general business needs. ReWalk recently ensured itself a $20 million line of credit from the Kreos Capital fund, of which it has already used $12 million. At the end of 2015, before the line of credit was obtained, ReWalk had $17.9 million in cash.

ReWalk, which has developed a robot device for those with spinal cord injuries as a replacement for a wheelchair, is traded at a $127 million market cap. The company held its IPO in September 2014 at $12 a share, and its shares have had a negative 12.7% return since then. The company share price soared to a peak of over $37 following the offering.

At its low point, the share was traded at $5.80, but the share again surged after the US Department of Veterans Affairs (VA) issued a national policy for the evaluation, training and procurement of ReWalk personal exoskeleton systems for all qualifying veterans. ReWalk finished 2015 with $3.7 in revenue and a $23.1 million non-GAAP net loss. The company's CEO is Larry Jasinski.

Published by Globes [online], Israel business news - www.globes-online.com - on March 1, 2016

© Copyright of Globes Publisher Itonut (1983) Ltd. 2016

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