Medical device company Paieon Medical is setting out to raise $10 million, in order to gear up for penetrating the US market. The company intends to make an initial public offering on the Tel Aviv Stock Exchange, or alternatively to raise the money from private investors.
Paieon was founded in 2000 as a spin off from Vectop, which was acquired by Rada Electronic Industries Ltd. (Nasdaq: RADA) in 2005. The company is developing medical imaging devices for invasive cardiology, based on technology that was developed in the military and the defense industry. The company's founder and CEO is Omer Barlev, an experienced entrepreneur in imaging and electro-optics, a former commander of Sayeret Matkal (the General Staff Reconnaissance Unit), and the son of the IDF's eighth chief of staff, Haim Barlev.
Barlev confirmed today that the company was considering the possibility of raising capital on the stock exchange, and said that the fund raising round was being undertaken "in order to expedite penetration of the market with the imaging system, which accompanies the insertion of a prosthetic valve in the heart." The valve, developed by Edward Lifesciences, is due to receive approval for sale in the US in 2011, and that will be Paieon's big opportunity.
Paieon is registered in the US, with its headquarters in New York and its R&D and support center in Rosh Haayin. It raised $3.5 million in 2007.
Published by Globes [online], Israel business news - www.globes-online.com - on September 12, 2010
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