The San Francisco-based company said it is looking to float 6.2 million shares of common stock at $3.50 per share.
The offering also includes a 30-day underwriters option to purchase an additional 600,000 shares of common stock at the same price, according to a press release.
William Blair & Company are acting as the sole book-running manager for the offering, and Invuity has not yet said how it plans to spend funds raised in the round.
The funds should give the company runway through 2020, and possibly even allow it to break-even on cash flow, according to Leerink Partner Richard Newitter.
“In our view, with the balance sheet overhang lessened, the odds of a more sustained stock rebound increase over the next 6-9 months assuming: (a) IVTY starts to drive better execution on re-set 2018 numbers in the quarters ahead under new leadership (board member Scott Flora replaced former CEO Philip Sawyer on 2/28); and given (b) that an improved cash position will clearly put IVTY in a better bargaining position if a sale process were to be entertained at some point in the near-to-intermediate term,” Newitter wrote in a letter to investors.