Ra Medical (NYSE:RMED) said yesterday that its initial public offering brought in more than $86 million by the time it closed, including an underwriter’s option that added some $10 million to the take.
The $17-per-share flotation of 4.5 million shares was bolstered by the 585,000-share over-allotment, for gross proceeds of $86.2 million. Carlsbad, Calif.-based Ra Medical, which makes the Dabra atherectomy catheter laser for peripheral artery disease, said the net proceeds are expected to come to $67.6 million.
RMED shares debuted Sept. 27 on the New York Stock Exchange at $21.50 apiece, closing down -7.0% that day at $20 even. The stock was up 2.4% to $15.17 per share today in early trading.
Ra last week priced the IPO at $66 million, significantly higher than the range it indicated previously. The company said Sept. 17 that it planned to float 3.3 million shares at $14 to $16 apiece, for gross proceeds of $46.7 million to $53.3 million – well below the more than $86 million Ra Medical indicated in an August regulatory filing that proved the a most accurate in the end.
Piper Jaffray & Co. and Cantor Fitzgerald were joint book-runners, with SunTrust Robinson Humphrey as lead manager and Nomura Securities International and Maxim Group as co-managers.
The Dabra catheter is designed to destroy arteriosclerotic blockages with radiation ablation, which the company touts as having significant advantages over traditional balloon angioplasty systems.