Itamar Medical Ltd has entered into definitive agreements for a $11.5 million private placement at a purchase price of NIS 1.1693 per ordinary share of the company. Of the $11.5 million, $8.0 million will be made through purchases of American Depositary Shares by US accredited investors, consisting of a fund managed by Deerfield Management Company, LP as well as Triple Gate Capital LP, West Elk Partners, LP, and Alpha Capital Anstalt, and the balance of $3.5 million will be by way of issuing ordinary shares to More Investment House.
The closing of the transaction is subject to listing and other customary conditions.
While the company expects the closing of the Israeli Tranche to occur within the next several weeks, there is no assurance as to the timing of the closing of the US Tranche in light of, among other things, the federal shutdown in the US.
Net proceeds of the financing will be used primarily to accelerate Itamar’s revenue growth through direct expansion of its sales and marketing initiatives.