Nexstim Plc (NXTMH:HEX, NXTMS:STO) ("Nexstim" or "Company"), a medical technology company developing and marketing pioneering navigated non-invasive brain stimulation systems for both therapeutic and diagnostic applications, announces that it is raising new equity financing of the gross amount EUR 1.75 million via a directed issue of new shares to a London-based fund managed by City Financial Investment Company Limited.
The Company’s Board of Directors resolved to issue up to 7,000,000 new shares at a subscription price of EUR 0.25 per share, resulting in an aggregate subscription price of EUR 1,750,000 (before any expenses relating to the share issue). The new shares will be issued based on an authorisation received at the Company's Annual General Meeting on 28 March 2017.
The new shares are expected to be registered with the Finnish Trade Register on or about 30 October 2017 and are expected to be listed on First North Finland and First North Sweden on or about 31 October 2017. After the issued shares have been registered with the Finnish Trade Register, the total number of registered shares in the Company will be 93,163,694.
With this financing, Nexstim is well placed to begin commercialisation of its NBT® system for the treatment of stroke, depression and pain in the US and Europe. In the US, Nexstim has filed a 510(k) submission for the treatment of depression with the FDA and is conducting the supplementary Phase III E-FIT trial in patients with stroke. The E-FIT trial is expected to complete in Q2 2018, which would allow Nexstim to file for FDA clearance. The NBT® system is CE marked for all three indications in Europe.
The NBT® system is based on Nexstim’s unique navigated Transcranial Magnetic Stimulation (nTMS) which allows for accurate, reproducible brain stimulation in therapy. Following the directed share issue, Nexstim believes it has sufficient funding to support the execution of it strategy through to approximately the end of Q1 2019.
goetzpartners securities Limited acted as Financial Advisor on the directed share issue.
Commenting on the share issue, Martin Jamieson, Chairman and CEO, Nexstim Plc stated: “We are very pleased to welcome City Financial as a new shareholder in Nexstim. Their support reflects confidence in our strategy to commercialise our NBT® system for stroke, depression and pain, major indications where there are clear needs for improved treatment approaches. This investment leaves us well funded to execute our strategy through to the end of Q1 2019.”
Martin Jamieson, Chairman and CEO
About Nexstim Plc
Nexstim is a medical technology company developing and marketing pioneering navigated non-invasive brain stimulation systems for both therapeutic (NBT® system) and diagnostic (NBS system) applications. Nexstim's NBS system is the only FDA cleared and CE marked system based on navigated Transcranial Magnetic Stimulation (nTMS) for the pre-surgical mapping of the speech and motor cortices of the brain. Based on the same technology platform, the Company has developed the Navigated Brain Therapy (NBT®) which is CE marked in Europe for the treatment of stroke, major depression and chronic neuropathic pain.
Nexstim has received clearance from the FDA for marketing and commercial distribution of its NBT® system for the treatment of Major Depressive Disorder (MDD) and looks forward to introducing the NBT® system for this important indication during H1 2018.
The NBT® system is currently in a 60 patient, supplemental Phase III study, E-FIT trial, for its use in stroke rehabilitation. The trial is expected to complete in mid-2018, allowing Nexstim to file for FDA clearance. FDA clearance would allow Nexstim to start marketing and selling its NBT® system for stroke rehabilitation in the USA.
Nexstim shares are listed on the Nasdaq First North Finland and Nasdaq First North Sweden.