Nevro Corp. said it plans to raise more than $100 million in an initial public offering of stock for its implantable spinal cord stimulation system to treat chronic pain.
Menlo Park, Calif.-based Nevro plans to trade on the NASDAQ exchange under the NVRO, according to a regulatory filing. At the maximum price listed in the registration, the offering would be worth $115 million.
Founded in 2006, Nevro has been led since 2011 by ex-Medtronic (NYSE:MDT) COO Michael DeMane. The company has raised more than $153 million so far from backers including Johnson & Johnson (NYSE:JNJ), Covidien (NYSE:COV), Novo Nordisk and New Enterprise Assoc. A Series C round brought it $48 million last year.
In June, the company asked the FDA for premarket approval for Senza, a high-frequency neurostimulation system that delivers up to 10,000 hertz to the spinal cord. Nevro says previous trials demonstrated its HF10 therapy is nearly twice as successful treating back pain as traditional spinal cord stimulation devices, which typically deliver between 40 Hz and 60 Hz. The company is conducting the Senza-RCT study, a prospective, randomized, controlled pivotal trial comparing Senza to treatment with low-frequency spinal cord stimulation.
Physicians have already implanted Senza in some 2,500 patients in Europe and Australia, with Nevro reporting a $26 million loss in 2013 on revenue of $23.5 million. The company has established subsidiaries in Australia, Switzerland and the U.K. The company cites estimates that 84 million people in the United States suffer chronic back pain, costing $34 billion to treat annually and another $100 billion in the form of lost productivity.
Nevro employs about 115 people and lists nearly 20 open positions. Earlier this year, the company hired Dr. David Caraway to be its chief medical officer.
Lead underwriters for the IPO are JPMorgan Chase and Morgan Stanley.