ReWalk Robotics, a developer of exoskeletons for people with lower-limb disabilities, is seeking to sell nearly 5.6 million ordinary shares, plus more, worth about $6.2 million.
Marlborough, Mass.-based ReWalk is also offering more than 4.5 million ordinary shares which are issuable upon the exercise of outstanding warrants, according to a news release. ReWalk is also registering ordinary shares issuable upon the exercise of outstanding warrants issued to designees of the placement agent of its private placement.
The three types of shares on offer are referred to as the company’s “securities,” and will not provide any proceeds to ReWalk through sales by the selling shareholders. However, ReWalk will receive proceeds from any warrants exercised for cash in the future, which it expects to total approximately $6.2 million.
ReWalk said it plans to use net proceeds for sales, marketing and reimbursement expenses related to the market development of its ReStore soft exoskeleton. ReStore is designed to be versatile and adaptable, allowing it to be used with a broader range of a clinic’s stroke rehabilitation patients than previous robotic technologies, claimed ReWalk Robotics.
Additionally, it is looking to broaden third-party payor coverage for its Personal exoskeleton and commercialize new product lines, while also adding funds to R&D and other general corporate purposes.
Approximately 800,000 people per year suffer a stroke in the U.S., and about two-thirds of them survive and require rehabilitation, according to the National Institute of Neurological Disorders and Stroke, a part of the National Institutes of Health.
Earlier this month, the company closed an $8 million private share placement. It had closed a public offering in February raising $7 million. It also entered into a contract with a German health insurer to allow eligible beneficiaries with spinal cord injuries to apply for procurement of a ReWalk 6.0 exoskeleton.
In addition, the U.S. Centers for Medicare & Medicaid Services issued ReWalk the first healthcare reimbursement code for exoskeletons in October.
Editor’s Note: This article first appeared on our sister publication, Mass Device.
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