Brainsway to offer 1.8M shares

Israel's Brainsway is dialing back its IPO expectations. It has filed more documents with the SEC saying it will offer about 1.8 million shares for between $10 and $12 per share. The filing comes less than a month after the company said it was looking to raise $30 million on NASDAQ.

The company estimates it will receive net proceeds after deducting the underwriting discounts and commissions and the estimated offering expenses of $17.4 million, based on an assumed public offering price of $11.00 per share. It expects to use the net proceeds for manufacturing and commercializing its product, ongoing and future clinical trials, R&D, working capital and general corporate purposes, according to its filing.  

Brainsway is developing the deep transcranial magnetic stimluation systems for noninvasive treatment of a wide range of neurological and psychopathological disorders. Potential applications include addiction, schizophrenia, obesity, eating disorders, Parkinson's disease, Alzheimer's disease, autism and post-traumatic stress disorder, according to the company's website. Its initial focus is the treatment of major depression.

As Dow Jones notes, Brainsway generates little revenue and is unprofitable--like most development-stage medical companies. Last year, its loss narrowed from a year earlier. It had $86,000 in revenue last year.

- see the SEC filing
- get more from Dow Jones

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