CVRx Inc., the Brooklyn Center-based medical device maker, has priced its initial public offering 7 million shares at $18 per share, raising $126 million.
The price was up from the $15- to $17-per-share range disclosed in the company’s latest amended filing with the Securities and Exchange Commission. Underwriters have a 30-day option to purchase an additional 1,050,000 shares, which would increase the overall amount raised.
The shares were priced late Tuesday and have not yet started to trade Wednesday morning.
The commercial stage company makesminimally invasive neuromodulation devices to treat cardiovascular diseases. The company’s Barostim devices stimulate the autonomous nervous system and the wall of the carotid artery to moderate cardiovascular function.
Johnson & Johnson’s strategic venture capital arm has backed CVRx. The health care giant’s Innovation-JJDC Inc. fund is the largest shareholder in CVRx, with approximately 21% of the shares outstanding.
JJDC has invested more than $500 million in 40 different companies in 2020, and its portfolio includes more than 130 companies mainly in the pharmaceutical, consumer product and medical device fields.
CVRx has been led by Chief Executive Nadim Yared since 2006. Educated in France, Yared previously worked at Medtronic and GE Medical.
The company intends to use proceeds of the offering to build out its direct sales force and other corporate functions to further the commercialization of its Barostim devices. They also plan to invest about $12 million into further research and development.
The company had in 2020 $6 million in revenue, down 3.2% from the previous year, and lost $14.1 million. As of March 31, the company had approximately 63 employees.
Wednesday is busy day for IPOs with more than a dozen other companies and funds set to start trading as well. Nasdaq noted that it has now had 395 IPOs in the first half of 2021 that have raised a total of $103 billion.
The 395 IPOs included 160 operating companies. The other IPOs included SPAC offerings and direct listings as those ways to seek public listing status have escalated in the last several years.
CVRx becomes the sixth Minnesota-based company to complete an IPO this year, the highest number of Minnesota IPOs in a single year since 1999.
Underwriters for the offering included J.P. Morgan Securities, Piper Sandler & Co. and William Blair & Co. Legal experts included Faegre Drinker Biddle & Reath.