Insightec, an Israeli global healthcare medtech company that offers a device for minimally invasive surgery based on ultrasound, is ready for an SPAC merger ahead of its initial public offering IPO. Globes has reported that sources at the company revealed that Insightec expects to end up with a $2 billion valuation, once the deal is completed.
After a financing round in 2020 that brought in $136 million, Insightec was valued at a $1.3 billion valuation. But in May, that dropped to just $1 billion after shareholder York Capital sold its 7% stake in the company.
Insightec is controlled by Canada’s Koch Disruptive Technologies (KDT. That firm currently holds a 40% stake in the company, having invested $200 million in it.
The news comes just a few weeks after Insightec announced that its incisionless neurosurgery platform, the Exablate 4000 received market approval by the Central Drugs Standard Control Organization (CDSCO), part of the Ministry of Health and Family Welfare of India. The billion or so potential new clients in that country might have something to do with its higher valuation today.
The Exablate 4000 (Exablate Neuro) platform uses MR-guided focused ultrasound to precisely ablate a small target deep within the brain without incisions. The approval will enable treatment of patients in India living with Essential Tremor, Tremor-dominant Parkinson’s Disease and Neuropathic Pain.
Insightec uses the therapeutic power of acoustic energy for medical care. How? The company’s tech uses the power of sound waves to penetrate the human body so that doctors will no longer need to cut someone open in order to operate.
Essential Tremor is a neurological condition that causes uncontrollable shaking in an estimated 41 million people worldwide. More than 80 medical centers around the globe are treating Essential Tremor patients with the Exablate Neuro on a regular basis. Performed in a single session in an MRI suite, many patients experience immediate tremor relief in the treated hand with minimal side effects.
Anyone who ever watched Star Trek has seen a vision of the future where surgery can be performed without so much as a scalpel for cutting the skin. Opening up a person’s head and cutting into a brain to operate for any medical issue obviously brings with it the problem of causing some other damage. The brain is possibly the most sensitive organ in the human body.
— INSIGHTEC (@INSIGHTEC) October 13, 2021
So when INSIGHTEC succeeds in perfecting its techniques it will be yet another example of Startup Nation turning sci-fi into reality.
On the India News, Maurice R. Ferré MD, Insightec CEO and Chairman of the Board of Directors, said, “This approval adds to the growing recognition of the value of Focused Ultrasound for global healthcare systems. More importantly, expanded access to our technology is helping to transform the lives of people living with debilitating medical conditions.”