Anteris Technologies Global Corp. has entered a material definitive agreement to raise approximately $320 million through a public offering and a strategic private placement with Medtronic’s subsidiary. The capital will support clinical trials and manufacturing expansion for its innovative heart valve technology.
- Public offering of 34.8 million shares at $5.75 each
- Underwriters exercised option to purchase additional 5.2 million shares
- Private placement of 15.7 million shares to Covidien Group S.à r.l. (Medtronic subsidiary)
- Gross proceeds estimated at $320 million before expenses
- Funds earmarked for DurAVR THV pivotal trial, manufacturing scale-up, and R&D
Anteris Technologies Raises Significant Capital
Anteris Technologies Global Corp., a company at the forefront of structural heart medical devices, has announced a major capital raise through a combination of a public offering and a private placement. The company plans to issue 34,782,609 shares of its common stock at $5.75 per share, with underwriters exercising an option to purchase an additional 5,217,391 shares. Concurrently, a private placement of 15,652,173 shares will be sold to Covidien Group S.à r.l., a wholly owned subsidiary of Medtronic plc, at the same price.
Strategic Investment and Use of Proceeds
The combined gross proceeds from these transactions are expected to be approximately $320 million before deducting underwriting discounts, commissions, and other expenses. Anteris intends to deploy these funds to accelerate the next phase of growth, focusing on advancing its clinical strategy. This includes ongoing recruitment and execution of the PARADIGM Trial, a global pivotal study evaluating the safety and efficacy of its lead product, the DurAVR Transcatheter Heart Valve (THV), designed to treat severe aortic stenosis.
Additionally, the capital will support expansion of manufacturing capabilities and continued research and development efforts, including work related to its subsidiary v2vmedtech, inc. The balance of funds will be allocated to working capital and general corporate purposes.
Collaboration with Medtronic
The private placement by Medtronic’s subsidiary not only provides capital but also opens the door for potential collaboration opportunities. The two companies have agreed to engage in non-exclusive good faith discussions regarding manufacturing, co-development, and co-commercialisation of Anteris’s products. While no binding commitments have been made, this strategic relationship could enhance Anteris’s market reach and operational capabilities.
Regulatory and Market Considerations
The offering is being conducted under a registration statement declared effective by the U.S. Securities and Exchange Commission, with shares listed on both the Nasdaq Global Market and the Australian Securities Exchange (ASX). Lock-up agreements restrict sales of common stock by company insiders for 90 days post-offering, a standard measure to maintain market stability. The company has also committed to filing a registration statement covering the resale of shares issued in the private placement within 18 months, providing liquidity assurances to the investor.
Legal counsel from Jones Day and Sidley Austin LLP have provided opinions on the validity of the shares and compliance with applicable laws. The underwriters include Barclays Capital Inc., Wells Fargo Securities, LLC, and Cantor Fitzgerald & Co., who will manage the public offering process.
Looking Ahead
Anteris’s capital raise marks a significant milestone as it advances its innovative biomimetic heart valve technology through clinical trials and prepares for commercialisation. The involvement of Medtronic, a global leader in medical devices, underscores the potential of Anteris’s DurAVR THV system. Investors will be watching closely for clinical trial progress and any further developments in the strategic partnership.
Bottom Line?
Anteris’s $320 million capital raise sets the stage for clinical and commercial milestones, with Medtronic’s backing adding strategic weight.
Questions in the middle?
- How will the collaboration with Medtronic evolve beyond capital investment?
- What are the expected timelines and milestones for the PARADIGM pivotal trial?
- How will the expanded manufacturing capabilities impact Anteris’s market readiness?