A Medical Device Daily

Athenahealth (Watertown, Massachusetts), a med-tech company headed by Jonathan Bush, a first cousin of President George W. Bush, plans to raise $86 million in an initial pubic offering, according to a U.S. Securities and Exchange Commission filing.

The company, which provides Internet-based business services for physician practices, plans to use about $28.2 million of the proceeds to pay back debt and says it will use the remaining proceeds for working capital and general corporate purposes.

Athenahealth did not detail the number of shares it plans to sell or the price range it expects them to fetch. In its listing, the company said it has 29.4 million shares of stock privately held by 280 stockholders.

According to the filing, Athenahealth has incurred significant operating losses since its inception. For the year ended Dec. 31, 2006, the company had a net loss of $9.2 million and a loss from operations of $5.9 million and for the three months ended March 31, 2007, it had a net loss of $2.7 million and a loss from operations of $1.2 million.

Athenahealth had an accumulated deficit of $67.9 million as of March 31. The company said it expects its costs and operating expenses to increase in the future as it expands its operations.

In other financing news:

• Ellex Medical Lasers Limited (Adelaide, Australia), maker of ophthalmic laser and ultrasound systems, reported that it raised $5.5 million through the placement of 6.5 million ordinary shares at a price of 85 cents a share.

The issue price compares to a closing price Friday of 87 cents a share and a volume weighted average price for the week prior to the placement of just under 87 cents.

Ellex said it has undertaken the placement to strengthen the balance sheet to provide the company with the flexibility to pursue the next phase of its growth strategy.

“Over the past 2 years we have seen strong growth in our revenue and profit as we have transformed our business and transitioned away from reliance on OEM,” said Peter Falzon, CEO of Ellex. “During the 2007 financial year, we also started to leverage our strategy through acquisitions. The placement will enable the company to repay the bank debt accumulated through these acquisitions and from the investment in working capital to grow the core business.”

Falzon said that the ophthalmic device industry includes an unusually high number of small one- or two-product companies providing opportunity to acquire and consolidate under the Ellex brand and further leverage the company’s distribution channel.

• Triad Hospitals (Plano, Texas) reported in connection with its cash tender offer and consent solicitation for any and all of its outstanding $600 million aggregate principal amount of 7% senior notes due 2012 and $600 million aggregate principal amount of 7% senior subordinated notes due 2013 that the company is extending the price determination date to 10 a.m. EST on July 16 and is extending the expiration date to midnight, EST, July 30.

Triad owns and manages hospitals and ambulatory surgery centers in small cities and selected larger urban markets.