Ra Medical Systems today announced it entered a merger agreement with Catheter Precision.
Under terms of the agreement, Catheter Precision will become a wholly-owned subsidiary of Ra Medical in a stock-for-stock reverse merger transaction. Upon completion, the combined publicly traded company will focus on the cardiac electrophysiology market.
“After undertaking a comprehensive process with external advisors to explore and evaluate a range of strategic options, our board and management team believe this transaction with Catheter Precision is the best strategic alternative for Ra Medical and represents an opportunity to create substantial value for our stockholders,” Ra Medical CEO Will McGuire said in a news release. “This business combination, if completed, will result in Ra Medical investors having an equity stake in a company that is focused on developing and commercializing novel technologies and solutions to improve the lives of patients with cardiac arrhythmias under the leadership of a world-class team with decades of medical device industry experience.”
As part of the deal, David Jenkins will serve as CEO of the combined company. Prior to becoming CEO of Catheter Precision, he held numerous leadership roles at Transneuronix and EP Medsystems, both of which were acquired by Medtronic and St. Jude Medical, respectively.
“We look forward to welcoming Ra Medical stockholders to our combined company following the completion of the proposed merger transaction,” said Jenkins, who also founded Catheter Precision. “Catheter Precision is committed to producing cost-effective, user-friendly and technologically differentiated tools for use in percutaneous catheter procedures that physicians will embrace. Our Vivo non-invasive 3D imaging system enables physicians to identify the origin of arrhythmias pre-procedure, thereby streamlining workflow and reducing procedure time. We are also considering development opportunities for the Amigo remote catheter system, which incorporates the most modern technologies while remaining easy to learn and use, and we are looking forward to the launch of our vessel closure device, currently targeted for the first half of next year. We envision a significant opportunity afforded by this merger by providing access to the public capital markets.”