Wound management company Qray Ltd. is considering a reverse merger with a stock market shell, in order to raise capital, says the company's controlling shareholder Shladot Metal Works Ltd. (TASE:SLAD) in a notice to the TASE today.
Shladot, which owns 87.1% of Qray, rose 3.5% by midday today to NIS 7.97, giving a market cap of NIS 43 million.
Qray, run by CEO Zvi Pe'er, develops and manufactures self-administered phototherapeutic devices for the treatment of chronic wounds and oral ulcers, as well as for aesthetic treatments. The company completed a Phase I clinical trial of its Vireo device for healing wounds in late 2009. The company also has EU CE Mark certification to market its Vireo wound and pain treatment device.
Shladot said that merging with a stock market shell would enable Qray to raise the capital needed to foster its business, especially the marketing of its products, setting up a production line, and the development of related applications.
Published by Globes [online], Israel business news - www.globes-online.com - on April 21, 2010
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