Australia 4DMedical to IPO on ASX

Andreas Fouras, founder and chief executive, 4DMedical

Australian lung diagnostics company 4DMedical is to raise A$50m (US$35.6m) in an initial public offering on the ASX to help the company expand into the US.

Founded in 2013, 4DMedical technology scans lung function as the patient breathes, to provide sensitive, early diagnosis and to monitor changes over time. It claims that its Software-as-a-Service (SaaS) scans deliver much more complete results, showing even subtle variations in lung function down to the finest details, using lower levels of radiation than traditional methods.

“The board and management of 4DMedical are extremely excited about the prospect of improving the way physicians worldwide diagnose, treat and manage patients with respiratory diseases more effectively, more efficiently and at lower cost,” said chairman Bruce Rathie.

“The global respiratory diagnostic market whilst large and growing is still using antiquated procedures and we are confident the company is now well-positioned to drive adoption of new technology to improve patient diagnosis and outcomes,” he added.

The company is selling 76.4 million shares at A$0.73 each to raise A$50m. It also intends to raise A$5.8m via the sell-down of existing shares under the offer.

This will give the company a market capitalisation of A$193m.

“Funds raised from the IPO will grow our sales and marketing presence in the United States, allow us to execute against our clinical trial strategy and facilitate continued investment in our product pipeline,” said founder and chief executive Andreas Fouras.

The deal is fully underwritten by joint lead managers Bell Potter Securities and E&P Corporate Advisory.

The offer closes on 10 August with the shares expected to debut on 14 August.