SafeStitch Medical to merge with TransEnterix, raise $30M
SafeStitch Medical says it's agreed to a merger with private equity-backed TransEnterix and plans to issue a $30 million private placement.
SafeStitch Medical and TransEnterix are set to merge next quarter in a deal that includes a private placement worth about $30 million.
Miami-based SafeStitch said the deal will see it move to Research Triangle, N.C., but keep its name, stock symbol and place on the OTC exchange. TransEnterix CEO Todd Pope will helm the new SafeStitch, with chairman (and medtech veteran) Paul LaViolette at the head of the new firm's board. SafeStitch chairwoman Jane Hsiao will take a seat on the new entity's board, with OPKO Health chairman Phillip Frost joining the board, according to a press release.
The release did not mention SafeStitch founder, president & CEO Jeffrey Spragens or detail any other management changes. A SafeStitch representative was not available for comment this afternoon.