Nevro Corp. set the price range for its forthcoming initial public offering, which would raise $106.3 million at the high end of the range.
Menlo Park, Calif.-based Nevro plans to trade on the NASDAQ exchange under the symbol NVRO, according to a regulatory filing.
Nevro makes an implantable spinal cord stimulation system designed to treat chronic pain it calls Senza. Yesterday the company said it would issue 6.25 million shares at $15 to $17 apiece in the IPO, 1st announced earlier this month. That would mean proceeds of between $93.8 million and $106.3 million, or $100 million at the midpoint of the range.
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 in $48 million last year.
In June, the company asked the FDA for premarket approval for Senza, a high-frequency spinal cord stimulation system that delivers up to 10,000Hz to the spinal cord. Nevro said previous trials demonstrated that its HF10 therapy is nearly twice as successful in treating back pain as traditional SCS devices, which typically deliver between 40Hz and 60Hz. The company is conducting the Senza-RCT study, a prospective, randomized, controlled pivotal trial comparing Senza to treatment with low-frequency spinal cord stimulation.
Nevro said it hopes to have the Senza device on the U.S. market by early 2016 if approved by the FDA.
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. Nevro cited 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.