Mainstay Medical, the Medtronic-backed creator of an implant that can help ease back pain, is targeting €26.4m ($36.4m) from an initial public offering that will value it at up to €125m ($172.5m), according to the Irish Times.
The Ireland-based company plans to list on the Euronext market in Paris and the Enterprise Securities Market in Dublin, and will issue approximately 852,000 shares priced between €20.00 ($27.60) and €27.00 ($37.30).
Medical device manufacturer Medtronic invested in Mainstay’s $20m series B round in 2012, which was led by Fountain Healthcare Partners and which featured Seventure Partners and Capricorn Venture Partners. Soffinova Capital previously led a $6m series A round in 2010 that also included Twin Cities Angels.
Medtronic holds about 200,000 shares in Mainstay equating to a 5.9% stake that will be diluted to 5.4%, despite it investing in a further 31,000 shares. Mainstay’s largest shareholder is Soffinova Capital with 45.7%, and Soffinova will buy an additional 197,000 shares, after which its stake will be 41.2%.
Mainstay will use the proceeds to support clinical trials for ReActiv8, a small implanted device that can ease back pain by electrically stimulating the nerves responsible for contracting the lower back muscles.