NeuroMetrix, Inc. (NURO) announced that it has filed paperwork to register roughly 4.3 million shares, which constitute approximately 20% of its common stock outstanding, for public sale. These shares are presently owned by one of the Waltham, Mass.-based NeuroMetrix’s largest shareholders, New York hedge fund manager Deerfield Management.
The share registration for public sale conforms to the terms of the private financing agreement with Deerfield, and doesn’t indicate an unexpected exit or unloading of ownership on the part of Deerfield. As per the agreement, NeuroMetrix will not receive any proceeds from the public sale of these newly registered shares.
Deerfield acquired NeuroMetrix’s common shares for $2 per share in Sept. 2009. The private placement generated a net $17.3 million for NeuroMetrix.
NeuroMetrix designs, develops and sells proprietary medical devices to diagnose neuropathies, which are disturbances of the nervous system. Principally, the company offers physicians an in-office diagnostic system named the NC-stat System. The NC-stat System enables physicians to make rapid and accurate diagnoses of peripheral neuropathies, including carpal tunnel syndrome, low back and leg pain and diabetic peripheral neuropathy.
The NC-stat System is composed of single use NC-stat disposable biosensors that are placed on the patient’s body; the NC-stat monitor and related components; and the NC-stat docking station, an optional device that transmits data via the company’s onCall Information System. The NC-stat System has been on the market since May 1999.
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