The company is also joined by a host of entrepreneurs who benefit from the celebration of mergers of technology companies from Israel to Spacks in the United States. Mivtach Shamir Under the control of the CEO Meir Shamir, Which is expected to benefit from a 10.fold flood of value for a holding of less than 4% that it has in the medical device company Memic.
Mamik, which is developing a robotic platform for minimally invasive surgery, reported over the weekend that it has signed an agreement to merge with US.based company SPAC MedTech, which is traded on the NASDAQ under the name MTAC. The merged company.
According to Mivtach Shamir’s update, assuming that Mamik’s merger with the Spock company is completed as planned, Mamik’s value after the merger will be more than $ 1 billion – which will increase Mivtach Shamir’s holdings in Mamik’s holdings to NIS 74 million (about $ 23 million). Compared to the current value of NIS 7.5 million in the company’s books.
Mivtach Shamir notes that this value of Memic is estimated on the assumption that there will be no redemptions of the Spock shareholders, so that the merged company will have estimated cash balances worth $ 360 million.
Mamik’s Surgery Robot / Photo: Mamik Innovative Surgery
The data and their completion “depend on many factors”
Mivtach Shamir’s update on the subject also shows that the company, together with other shareholders in Mamik, signed a lock.up agreement that prevents it from selling its holdings in the merged company for one year from the completion of the merger.
In its annual financial statements Mivtach Shamir does not present details about its investment in Mimik and about the activities of the company in question, and now emphasizes that the mentioned data, as well as the completion of the merger agreement, “depend on many factors.“
Mivtach Shamir is an investment company operating in several areas of activity, and at the end of the first quarter of the year it enjoyed its holding in Gilat Satellite shares, thanks to a total increase in value of more than NIS 90 million, thanks to share realization, dividend receipt and increase in holding balance.
These together helped it present a quarterly net profit of NIS 132 million, compared to a net profit of less than NIS 11 million in the first quarter of 2020 – a year in which it all ended with a loss of about NIS 3 million.
Mivtach Shamir’s share enjoys a positive period, with a climb of about 55% in the last year and about 75% in three years, so that it reflects the company’s current value of about NIS 1 billion.
Most of the investors will enjoy the profits
The merger of the medical device company Mick to SPAC shows that even in the biomed field, it is possible to achieve impressive returns on investment in a not too long period of time, provided that all the stars work out correctly for the company. Mick was founded in 2012, and to date has raised about $ 116 million.
Apart from Mivtach Shamir, most of Mimik’s other investors are also expected to enjoy 10 times the returns on their investment, with some of those who entered earlier earning even more. This is the Axelmed Foundation of Dr. Uri Geiger And the Peregrine Fund of the brothers Boaz and Eyal Lifshitz, who were among the first to invest in the company. Axelmed said it expects a 30.fold return on its investment.
Other investors in Mimic who are expected to benefit from the move are the Overcrowd funds, Creos and Martel, the Technion’s commercialization company and the Amit Institute (a technology commercialization institute within the Technion with the contribution of the late billionaire Alfred Mann) and private investor Danny Hadar.
“A device that looks like a game console”
Mamik has developed a robotic device for endoscopic and laparoscopic surgeries, that is, surgeries performed through a natural opening or through a small hole in the body. In these surgeries, straight and long instruments are usually inserted, at the end of which are the surgical instruments. The surgeon operates handles on the outer end of the device, and they are mechanically translated into movements within the body, for example movements of gripping, sliding, mating and the like. Memic’s device, instead of looking like just a straight crochet hook, looks like a flexible arm with a palm.like grip at the end. When the company recruited its latest private recruiting, the company’s CEO and founder Dvir Cohen explained that: “I wanted to give the device the flexibility of a human arm and the intuition of hand operation. The surgeon uses a device that looks like a game console with his hand. “
“The merger with MedTech is a significant opportunity for us to develop the robotic surgery market in ways that were previously inaccessible to us,” Cohen noted. “The product has the potential to change the way surgeons perform robot.based medical procedures. The collaboration with the MedTech team – which brings with it centuries of accumulated experience in robotic surgery – is an important step in introducing the technology.“
It is rare for Israeli medical device companies to be able to go public at such a value, especially before they start recording income. It is not inconceivable that the winning card for Memic is the company’s chairman since 2018, Maurice Pera, who is also known to investors in Israel as the CEO of the medical device company Insightec.
Cow was GE Healthcare’s VP of Business Development and later founded and ran the pioneering robotics company MAKO Surgical, which was sold to the Stryker Corporation for $ 1.65 billion. An Israeli medical device company in the United States is one of the most difficult challenges for companies of the Mick type, and many do not survive it. So with Mako’s team, the company sets out with a relative advantage. Without this card, it is rare that Mick would have been able to get close to these values yet to record revenue.
Memic joins several Israeli biomed companies that have managed to break the $ 1 billion mark and become significant companies on the NASDAQ. The leader today is Novocure, which has developed a new approach to treating cancer using magnetic fields, and is already trading at $ 14.4 billion.
In doing so, it surpassed Teva, the former flagship of the Israeli pharmaceutical industry, which today is traded at a value of $ 10.9 billion on the New York Stock Exchange. Inmud, a successful medical aesthetics company, is already trading at a value of $ 4.1 billion, while the imaging company Nanox is already trading at a value of $ 1.3 billion.