Elbit Medical Technologies Ltd. (TASE: EMTC) announced this morning that it has agreed the sale of most of its stake in Insightec for $102 million at a company valuation of $702 million. The buyer was not named. Earlier this month, Elbit Medical had notified the Tel Aviv Stock Exchange (TASE) that it has signed a Memorandum of Understanding (MoU) on the sale of its shares to the buyer.
Insightec developed and markets a system for using focused MRI-guided ultrasound waves to destroy tissue, for treatment of non-Parkinson tremors, and to clear the "blood-brain blockage."
Completion of the deal is contingent on shareholders' approval, as a party at interest. Elbit Medical will use payment for the shares for the repayment of NIS 185 million on its Series C bonds. The balance of $38 million will be used to buy back the company's shares at an offer of $0.30.2 per share.
Elbit Medical Technologies also holds a stake in stem cell company Gamida Cell.
Insightec CEO is Maurice Ferre.
Published by Globes, Israel business news - en.globes.co.il - on December 26, 2019
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