The offering is placed at $110 million, with Irvine, Calif.-based Axonics expecting to offer $100 million in shares to go along with $10 million in shares offered by selling stockholders. Axonics plans to grant a 30-day option for underwriters to purchase up to $16.5 million in additional shares.
The company said it plans to combine the net proceeds from the offering with existing cash, cash equivalents and investments to support the commercial launch of its r-SNM system in the U.S., Europe and Canada. Axonics also intends to put some money toward SNM-related research and development and technological enhancement of the r-SNM system, along with working capital and general corporate purposes.
The company isn’t slated to receive any proceeds from the sale of shares by the selling stockholders, according to a news release. Bank of America Securities and Barclays are acting as joint book-running managers and Wells Fargo Securities is acting as lead manager for the offering.
Last week, Axonics won FDA premarket approval for its r-SNM for the treatment of overactive bladder and urinary retention, which followed the FDA approval that r-SNM won in September for fecal incontinence. The implantable, rechargeable sacral neuromodulation device is the first of its kind approved for sale in the U.S., Europe, Canada and Australia. It is also the only SNM device approved for full-body MRI scans without needing the device explanted, according to a news release.
Axonics is also in the midst of a legal battle over its SNM technology. Earlier this month, Medtronic (NYSE:MDT) filed a lawsuit against the company in the U.S. District Court for the Central District of California, alleging infringements of four patents for Medtronic’s SNM technologies indicated for bowel and bladder conditions.