January 19, 2017 | Yahoo! Finance —
Company Founders combine expertise in neurostimulation, cardiology, and nanomedicine
Nexeon MedSystems Inc. (“Nexeon” or “the Company”) announced today that it has closed a round of private funding that included new and previous investors. This round will allow the Company to expand manufacturing capacity to service additional customers and to begin building commercial product launch infrastructure in Europe.
The Company also announced that the US Securities and Exchange Commission has declared effective the Company’s Registration Statement on Form 10. This Registration Statement includes financial information related to Company business, a competitive analysis, corporate strategies, and details of the management team and Board of Directors. The Company began public-reporting responsibilities when it completed its first 10Q filing on Nov 16, 2016.
“The Form 10 process has two immediate benefits,” said Chairman and CEO Will Rosellini. “One, the financial transparency inherent in being a fully-reporting company will reveal our ongoing commitment to running lean operations and optimizing for our shareholder’s return on equity. And secondly, by avoiding the traditional IPO process, we avoid the risks IPO investors would normally have associated with pricing the offering. IPO’s haven't fared well in recent years, and I’m confident that a slow approach to a registered public offering offers a better opportunity for our existing and new shareholders.”
Existing shareholders and previous investors include Boston Scientific, Surmodics, Abbott Ventures, Santa Maria Investments, Yorkville MGB Investments, Ballard Investments, Unidym, and HealthTech Wildcatters Fund 1 among others. The Company is currently completing the FINRA process in order to be assigned a trading symbol, and it anticipates trading on the OTC Market QB Exchange soon.
Dr. Mark Bates originally founded Nexeon in 2005 to address large clinical voids via medtech innovation after he had spent two decades in direct patient care as a leading interventional cardiologist. Nexeon quickly became a vehicle for IP development and eventually led to the successful launch of multiple commercial medical products. While a portion of the Company’s portfolio has remained in-house for development, exits include the sale of an inventory saving system to BioSensors International, the sale of technology related to cell therapy delivery to Cook Medical, and the merger of a spinout focused on coronary and peripheral stent technology with CeloNova Biosciences.
Bates began discussions in 2012 with Nexeon’s current Chairman and CEO Will Rosellini after Rosellini approached him to collaborate on a growing need for alternative approaches to the design and delivery systems of bioelectronics devices. Rosellini and Bates decided to merge in 2015.
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What's a Form 10 Registration? Learn more about our IPO strategy from Chairman & CEO Will Rosellini
About Nexeon MedSystems: Nexeon MedSystems was founded in 2005 by interventional cardiologist Dr. Mark C. Bates of West Virginia. Dr. Bates is attributed to innovation of over 60+ US and international patents, and over the past decade, Nexeon has experienced several exits and product launches. In early 2016, Nexeon completed a merger with medtech incubator Rosellini Scientific, which brought with it a pipeline of preclinical and clinical projects supported with non-dilutive funding as well as holdings in seven existing medtech startup companies. Nexeon has since moved its corporate headquarters to Lexington, Kentucky, and plans to continue the development and manufacturing of its portfolio of medical device products.
Forward-Looking and Cautionary Statements: Statements in this press release that are not strictly historical may be “forward-looking” statements, which involve risks and uncertainties, and Nexeon undertakes no obligation to update any such statements to reflect later developments. These risks and uncertainties include Nexeon’s ability to successfully complete on the terms and conditions contemplated, and the financial impact of, its strategic portfolio repositioning actions, as well as economic and currency conditions, market demand, pricing, protection of intellectual property, and competitive and technological factors, among others, as set forth in Nexeon’s subsequent reports filed with the SEC
This article appears as it was originally published on Yahoo! Finance.