Hansen Medical will sell $10M in stock placement

Mon, 11/07/2011 - 8:45am
The Associated Press

Hansen Medical Inc. said Monday it agreed to sell $10 million in stock to Oracle Partners LP and Jack W. Schuler.

The Mountain View, Calif., company makes products that use robotics to manipulate and control catheters. It said the transaction was priced at $2.09 per share, matching the closing price of Hansen shares on Friday. The sale is expected to close Wednesday.

Oracle is the largest owner of Hansen shares. It currently owns about 3.4 million shares, or a 1.1 percent stake in the company. Schuler is a director and former chairman of medical waste management company Stericycle Inc., and he is co-founder and a partner in private investment firm Crabtree Partners.

After the market closed on Wednesday, Hansen announced that it expects approval for two of its products, the Magellan Robotic System and NorthStar Robotic Catheter, to be delayed. It had hoped the Food and Drug Administration would clear the products before the end of this year, but it now thinks the devices could be approved in the second quarter of 2012. Hansen said the FDA will need more time to review additional information about the products.

The company had cash and short-term investments of $26 million at Sept. 30.

Shares of Hansen lost a combined 33.4 percent Thursday and Friday. The stock recovered 21 cents, or 10 percent, to $2.30 in afternoon trading Monday.


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