Ellipse Technologies last week registered for an initial public offering that could fetch as much as $75 million for its magnetically adjustable orthopedic implants.
Aliso Viejo, Calif.-based Ellipse has a pair of orthopedic surgery devices already on the market, the Magec-Eos spinal bracing and distraction system for early-onset scoliosis, and the Precice limb-lenthening system for treating limb length discrepancies.
The systems are designed to allow physicians to use an external remote controller to adjust the size, shape, position and alignment of the devices after they’re implanted. Ellipse said in an Oct. 16 regulatory filing that it estimates the addressable market for both the Magec-Eos and the Precice system at about $1.2 billion. The company said its pipeline includes devices designed to treat trauma, knee osteoarthritis and degenerative spine disease.
“We believe our proprietary MAGEC technology has the potential to become the standard of care for a wide range of orthopedic conditions,” Ellipse said in the filing.
Ellipse reported net losses of -$3.2 million on sales of $25.7 million last year, representing a -39.6% reduction in red ink on sales growth of 114.2%. Sales grew 97.1% to $20.3 million during the 1st half of 2015, but losses also grew, rising 150.0% to -$3.5 million, according to the filing.