Restoration Robotics filed for an initial public offering that would raise $25 million at the median to fund the development of its ARTAS System, robot-assisted hair restoration system.
The medical technology company plans to sell more than 3.1 million shares at a range of $7 to $9 a piece; at the high end of the range the flotation would fetch more than $28.1 million.
The IPO is expected to price during the week of October 9, 2017. If successful, it would establish a market value of $225 million for the company.
The ARTAS System is a physician-assisted robotic system that carries out follicular unit extraction surgery by identifying and dissecting the hair follicular units at the scalp and creating implant sites. It also comes with the ARTAS Hair Studio application, a 3D consultant tool for creating hair transplant models with patients.
The system includes a patient chair and a cart that supports the robotic arm, vision system and a series of sensors and devices.
“We believe the ARTAS System addresses many of the shortcomings of other hair restoration procedures,” Restoration Robotics said in an SEC filing. “The ARTAS System is capable of robotically assisting a physician through many of the most challenging steps of the hair restoration process, including the dissection of hair follicles, site planning and recipient site making.”
To continue growing the business, the company hopes to expand its physician customer base to dermatology and plastic surgery specialists, increase international sales with more distributors and sales staff, develop new features and capabilities and encourage greater use of the system for hair restoration surgeries.
Restoration Robotics posted losses of -$21.8 million, or -$13.54 per share, on sales of $15.6 million last year, paring its losses by -4.9% despite a -9.5% top-line slide.