Obalon Therapeutics, which is developing an intragastric medical device to assist with weight loss, announced terms for its IPO on Monday.
The Carlsbad, CA-based company plans to raise $75 million by offering 5 million shares at a price range of $14 to $16. Insiders intend to purchase $20 million worth of shares in the offering. At the midpoint of the proposed range, Obalon Therapeutics would command a fully diluted market value of $267 million.
Obalon Therapeutics was founded in 2008 and booked $4 million in sales for the 12 months ended June 30, 2016. It plans to list on the Nasdaq under the symbol OBLN. UBS Investment Bank, Canaccord Genuity and Stifel are the joint bookrunners on the deal. It is expected to price during the week of October 3, 2016.
