ViewRay (NSDQ:VRAY) said it added another $59.1 million it its coffers in an equity and warrants sale to Chinese investment firm Fosun International, following a $50 million offering last year.
Fosun, which took out a 9.9% stake in ViewRay last October in a $50 million round, is slated to own 18.4% of the Cleveland-area linear accelerator maker if the latest round closes as expected March 2. The offering consisted of 7.1 million common shares and seven-year warrants to purchase another 1.4 million shares at an exercise price of $8.31 per share, which was the Feb. 23 closing price for VRAY shares.
ViewRay said it plans to use the proceeds to further the commercialization of its MRIdian linear accelerator , R&D and general corporate purposes.
“We are excited to complete this financing, which will enable us to scale up production and to continue investing in sales and marketing to meet the growing demand for the MRIdian Linac,” president & CEO Chris Raanes said in prepared remarks. “This significant investment provides further validation of our belief that MRIdian Linac will lead to a new standard of care in radiation oncology.”
In February, ViewRay said it won FDA 510(k) clearance for its MRIdian Linac system and released its preliminary earnings for the 4th quarter and full fiscal year 2016.
VRAY shares were up 1.1% to $8.40 apiece today in early trading.
