Optiscan Imaging (ASX:OIL) has launched an entitlement offer to raise $16.7 million it says will be used to support its strategic portfolio expansion.
The offer is partially underwritten by existing shareholders Peters Investments and Orchid Capital Investments.
The company said the funds raised would be used to support its research and development projects specifically for both rigid and flexible surgical applications, to develop improved image capture, AI and telepathology capabilities, to undertake clinical studies to satisfy the FDA concerning premarket notification applications for new addressable markets, to increase the commercial exposure in the US, and for general working capital purposes.
According to CEO and managing director, Dr Camile Farah, “The Company is at an inflection point in its history as it accelerates its transformation from an R&D enterprise and OEM (Original Equipment Manufacturer) supplier, to a pure-play medical device manufacturer and digital solution provider. As the Company looks forward to its first standalone FDA-cleared medical device, the time is right to unleash the power of our platform digital imaging technology and develop a portfolio of products and services that cater for large addressable markets with a focus on real-time pathology and minimally invasive surgery.”
Non-Executive chairman Robert Cooke added, “The Board is excited about the future direction and commercial opportunities for the Company. A significant amount of work has gone into honing the Company’s strategy, supporting Dr Farah’s vision for widespread adoption of our products and services. We are buoyed by the overwhelming support offered by Optiscan’s two cornerstone shareholders and their backing of this Entitlement Offer. We believe their interest in underwriting the Offer sends a strong signal that we are on the right track to unlocking the Company’s future growth prospects.”