INSIGHTEC ANNOUNCES CLOSING OF INVESTMENT AGREEMENT AND EXTENSION OF INVESTMENT PERIOD
Tirat Carmel, Israel (16th September, 2014) -- INSIGHTEC, the global leader and pioneer in MR-guided focused ultrasound (MRgFUS) therapy for the non-invasive treatment of various clinical indications, announced today that it has finalized an agreement to close the current investment round at $50 million. The investment will be used to accelerate market development and strengthen the implementation of INSIGHTEC’s strategy developing the next generation non-invasive therapy.
The finalization of the agreement was completed after securing $12.5 million from Chinese investment company Shanghai GEOC Hengtong Investment Limited Partnership, a new investor in the company. As part of the finalized agreement, the option for existing shareholders only to purchase additional equity up to $12.5 million will be open until to November 30th, 2014.
"We’re very pleased to have Shanghai GEOC Hengtong Investment Limited Partnership as part of INSIGHTEC’s investors, in keeping with our strategic vision of expanding into the growing Chinese market and increasing collaboration with Chinese companies and expertise," said Kobi Vortman, Ph.D., CEO of INSIGHTEC.
Speaking for Shanghai GEOC Hengtong Investment Limited Partnership, Howard Chu, Partner of the Fund said, "We are very impressed by the potential for INSIGHTEC to disrupt the current market with their innovative solutions, and are pleased to provide capital support. The company has built a strong body of clinical evidence for the efficacy of its technology and the time is right to bring it to a wider market, including to China, and allow a greater number of patients to enjoy its benefits."