Hansen Medical Enters Securities Purchase Agreement - Quick Facts

(RTTNews) - Hansen Medical, Inc. (HNSN) announced it has entered into a securities purchase agreement in connection with a private placement of convertible preferred stock and warrants to purchase common stock with investors associated with leading medical device executive Jack Schuler, Oracle Investment Management, Westwood Management, and other healthcare executives including Fred Moll, the founder of Hansen Medical and the cofounder of Intuitive Surgical, Inc. The company would receive $35.0 million upon the closing of the purchase of 53,846 shares of convertible preferred stock at a per share price of $650.

Each share of preferred stock will be convertible into the number of shares of common stock obtained. Upon the closing, investors would also receive warrants to purchase 53,846,000 shares of common stock with an exercise period of two years. The additional proceeds from the exercise of warrants, if and when exercised, could total up to an additional $52.5 million of proceeds, which would result in total gross proceeds to the company of up to $87.5 million, before transaction costs.

The company will used the proceeds from the transaction to support commercialization efforts with the Magellan Robotic System, drive further adoption of the Sensei Robotic System and strengthen operations across the company.