Inspire Medical Systems | $INSP Stock | Sleep Apnea Treatment Firm Raises $108M After Going Public


Inspire Medical Systems Inc (NYSE: INSP)


Inspire Medical Systems Inc., a medical technology company based in Minnesota, has raised $108 million after going public. The company filed for an initial public offering last month seeking to raise $86 million.

INSP Chart

The firm, which makes and markets an implantable medical device used for treating obstructive sleep apnea, has now made its Wall Street debut. Its shares began trading on the New York Stock Exchange under the ticker symbol “INSP” on Thursday, May 3.

Initially, Inspire planned to make 5 million shares of its common stock available to the public, but ended up selling 6.75 million shares. The price range for the offering is $14-$16 and the firm has so far managed to raised more than $108M.

At the midpoint of the price range, the IPO’s proceeds will increase by 35% more than what Inspire had previously expected. INSP price started at $24.49 a share during the morning trading session on Thursday.

Goldman Sachs and BofA Merrill Lynch are the joint book-runners on the offering. The medical technology company has given the two underwriters a 30-day option to buy up to 1 million additional shares at the IPO price range, less underwriting commission and discounts.

Inspire will use the proceeds of its offering toward working capital, develop products, and sales and marketing.

Inspire Medical Systems Inc. Company Profile

Inspire Medical Systems came into existence in 2007 with an aim of developing implantable technologies for obstructive sleep apnea treatment. The U.S Food and Drug Administration approved the company’ exclusive Inspire system making it the first and only closed-loop neuro-stimulation tech that offers an effective and safe treatment for severe and moderate obstructive sleep apnea.

The system is aimed at suppressing the severity of obstructive sleep apnea as well as improving the quality of life for patients. The company targets patients within the US only.

Some of the investors that have a stake in the company include Johnson & Johnson, Medtronic, Amzak Capital Management, US Venture Partners, TGap Ventures, OrbiMed, GDN Holdings, Aperture Venture Partners, Synergy Life Science Partner, and Kleiner Perkins Caufield & Byers.

The company is headed by Timothy Hebert who serves as its President and Chief Executive Officer; a position he has held since 2007. Before taking the role, he worked at Medtronic PLC serving in many management positions, including marketing, product development, sales, clinical research, sales, etc. –Bloomberg