NeuroMetrix to be Acquired by electroCore
Deal News | Dec 17, 2024 | Globenewswire
NeuroMetrix, Inc., a leader in neurotechnology devices for chronic pain and diabetes, has announced a definitive merger agreement with electroCore, Inc., a bioelectronic medicine company. The deal, unanimously approved by both companies' boards of directors, stipulates that NeuroMetrix will become a wholly-owned subsidiary of electroCore. NeuroMetrix shareholders will receive the equivalent of the company's net cash, estimated at $9 million, and a contingent value right (CVR) allowing for potential further compensation. The transaction, still subject to several conditions including shareholder approval and regulatory filings, is expected to close in Q1 2025. The merger aims to expand patient access to NeuroMetrix’s Quell wearable technology through electroCore’s established commercial channels.
Sectors
- Healthcare
- Biotechnology
Geography
- United States – Both NeuroMetrix and electroCore are based in the United States and the transaction primarily affects the U.S. market.
Industry
- Healthcare – The article involves companies that operate in the healthcare sector, specifically in technologies for chronic pain and neurology.
- Biotechnology – Both companies are involved in bioelectronic and neurotechnology aspects, which are components of the biotechnology industry.
Financials
- Approximately $9M – Estimated balance of net cash to be paid to NeuroMetrix's shareholders.
- up to $500,000 – Potential royalties on net sales of prescription Quell products as part of CVR rights.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| NeuroMetrix, Inc. | Target Company | Company | A healthcare company specializing in neurotechnology devices. |
| electroCore, Inc. | Bidding Company | Company | A bioelectronic medicine and wellness company focused on neuromodulation. |
| Shai N. Gozani, M.D., Ph.D. | Chairman and CEO | Person | Current Chairman and CEO of NeuroMetrix. |