Shimon Eckhouse brings Epitomee Medical to TASE

Shimon Eckhouse  credit: Eyal Izhar
Shimon Eckhouse credit: Eyal Izhar

The flotation is Eckhouse's second in six months. Epitomee has developed a pill for treating obesity and drug delivery.

Despite the cooling of the primary market in Tel Aviv in the past few months (following a record year in which more than 100 new companies were floated on the Tel Aviv Stock Exchange), there are those who are still welcomed with open arms, and one of them is Dr. Shimon Eckhouse, who at the end of last week floated a second company within just over six months, after the IPO by SofWave in May. Eckhouse founded aesthetic medicine companies Syneron and Lumenis, which were floated on Wall Street and sold for huge sums, and was also a partner in the founding of heart valve company Ventor, which was sold for over $300 million.

The latest public company from the Eckhouse stable is Epitomee, developer of an ingestible pill for treating obesity and for delivering drugs to the stomach. As first reported by "Globes", the company sought to raise NIS 155 million at a pre-money valuation of NIS 620 million. In the end, it raised NIS 162 million at a valuation of NIS 632 million. The offering was led by Leumi Partners Underwriting and Barak Capital.

At the same time as the offering, global food company Nestlé, an investor in the company and its marketing partner, converted a $7 million loan to equity, bringing the total amount raised in the offering to NIS 187 million.

The pill developed by Epitomee expands in the stomach, creating a sensation of fullness. The pill is made of material defined as a food ingredient, and it disintegrates within a few hours, enough time to eat a reasonable meal and swallow another satisfying pill. The company's CEO is Dr. Dan Hashimshony, one of the founders of Dune Medical Devices.

In August 2020, Epitomee received external confirmation of the validity of its technology and the product's commercial potential when it signed an exclusive marketing agreement for its lead product with Nestlé Health Science. Epitomee will be entitled to receive $115 million in advance and milestone payments, as well as royalties on the product. An advance of $10 million has already been paid under the agreement.

In its last fund-raising round as a privately held company, led by Eckhouse in 2019, $8 million were invested in the company at a valuation of just $27 million.

The main shareholders in Epitomee are Eckhouse (28%), Chinese fund Star Concept (9.3%), Oriella, a company indirectly held by Rodney Hodges (7.7%), and companies owned by Idan Ofer and Udi Angel (altogether 16.5%).

According to its prospectus, Epitomee will start commercial production and sales in early 2023. Its product has the CE mark and the company has filed for approval from the US Food and Drug Administration. The product will cost $100-200 for a month's worth of pills for use several times daily. Epitomee has additional products, for treating diabetes, prediabetes, and other indications.

Epitomee was founded as Tulip Medical in 2005 by Eckhouse and Doron Marco. It has accumulated losses of some $30 million.

Published by Globes, Israel business news - en.globes.co.il - on December 13, 2021.

© Copyright of Globes Publisher Itonut (1983) Ltd., 2021.

Shimon Eckhouse  credit: Eyal Izhar
Shimon Eckhouse credit: Eyal Izhar
Orit Strook  credit: Marc Israel Sellem/The Jerusalem Post Finance C'ttee approves NIS 300m coalition funds distribution

The money will mainly go to Religious Zionist party minister Orit Strook's Ministry of Settlements and National Missions.

Dangoor Academy  credit: British Embassy in Tel Aviv British Embassy showcases Israeli healthcare startups

The nine startups participated in the Dangoor HealthTech Academy, a program that connects Israeli startups with the UK healthcare system.

NextVision Stabilized Systems  credit: Shlomi Yosef/Tali Bogdanovsky Next Vision shareholders make NIS 230m exit

A British hedge fund has bought a 2.5% stake in the stabilized cameras company.

Energean CEO Mathios Rigas at the Israel Business Conference   credit: Shlomi Yosef Energean's $1b gas fields sale at risk

The sale of the energy company's asset portfolio in Egypt, Italy and Croatia may fall through because of the buyer's difficulties with the Italian regulator.

Kela Technologies founders Jason Manne, Hamutal Meridor, Alon Dror and Omer Bar Ilan  credit:  Yosef Haim Alterman Defense tech co Kela raises $39m

In response to the events of October 7, Kela has developed a platform for rapid integration of commercial technologies into military systems.

Benjamin Netanyahu  credit: ‎Alex Kolomoisky, Yediot Aharonot Firing the Shin Bet chief: The hurdles

Prime Minister Benjamin Netanyahu says he has "lost trust" in Shin Bet head Ronen Bar. Will this be enough to overcome legal challenges to his dismissal?

Emiliano Calemzuk  credit: PR CEO and "investor group" buying out Reshet 13

CEO Emiliano Calemzuk and the other investors will hold 74% of the television channel, while Len Blavatnik’s Access Industries and WBD will remain with 26%.

Inflation  credit: Tali Bogdanovsky Unexpectedly low February CPI reading cuts inflation

While inflation in Israel in the 12 months to the end of February 2025 is lower than forecast, housing prices continue to rise.

Yitzhak Tshuva credit: Gidon Levy and Tali Bogdanovsky Competition Authority allows Delek takeover of Isracard

The Competition Authority is considered the easier of the two regulatory hurdles that the deal must overcome, the other being the Supervisor of Banks.

David Amsalem  credit  Noam Moskowitz, Knesset Spokesperson's Office Rafael to pay state NIS 444m dividend

The minister in charge of the Government Companies Authority, David Amsalem, has approved the payment by the defense company.

Barak MX air defense system  credit: IAI IAI profit jumps 55%

Israel Aerospace Industries posted a net profit of $493 million for 2024, and ended the year with an all-time high orders backlog of $25 billion.

A TSG system in tactical use  credit: PR TSG signs cooperation agreement with US defense co

The agreement includes the integration of TSG's advanced technologies into sensor-based defense systems, which will be integrated into the operational systems of US defense units.

Bria CEO Yair Adato credit: Kseniia Poliak Israeli visual generative AI co Bria raises $40m

Bria’s Visual Generative AI platform empowers businesses to create predictable, controllable, and on-brand content that aligns with their visual language.

Amnon Shashua and Aviram Ziv credit: Eyal Izhar OrCam stymied by investor dispute with Shashua

Demands by institutional investors are blocking the visual and hearing impairment device developer's recovery plan.

Work on the Green Line credit: Bar Lavi Egged wins tender to operate TA light rail Purple, Green Lines

NTA awarded the tender to Egged, which already operates the Red Line, despite government ministry opposition to one operator for the entire network.

Gabi Seroussi illustration: Gil Gibli Board chooses Seroussi as IAI chair as Erdan freezes candidacy

Israel Aerospace Industries board chose Gabi Seroussi as chair even though he did not to go through the preliminary process of the Government Companies Authority appointments review committee.

Twitter Facebook Linkedin RSS Newsletters גלובס Israel Business Conference 2018