A Medical Device Daily

Inverness Medical Innovations (Waltham, Massachusetts) reported the pricing of its previously disclosed public offering of 6 million shares of its common stock at $39.65 per share. In connection with the offering, the underwriters have been granted a 30-day option to purchase up to an additional 900,000 shares of common stock to cover over-allotments, if any. All of the shares in the offering are to be sold by Inverness.

The offering of shares is expected to close on Jan. 31, subject to customary closing conditions.

The company reported earlier this month that it was offering to sell up to 5 million shares of its common stock in accordance with a shelf registration statement in an underwritten public offering (Medical Device Daily, Jan. 22, 2007). The company said at that time it also expected to grant the underwriters a 30-day option to purchase up to an additional 750,000 shares of common stock to cover any over-allotments.

If all the shares are exercised, including the over-allotments, the company could raise up to about $273 million, before expenses.

The company said earlier this month that it intends to use a portion of the proceeds from the offering to repay outstanding indebtedness and for working capital and other general corporate purposes, including the financing of potential acquisitions or other investments, and for capital expenditures.

Jefferies & Company and UBS Investment Bank are acting as joint book- running managers for the offering. Cowen and Co. and Leerink Swann & Co. are acting as co-managers for the offering.

Inverness has already made its first acquisition this year. Earlier this month, the company bought Canadian distributor Med-Ox Chemicals (Ottawa, Ontario) for $5.4 million (MDD, Jan. 17, 2007).

In other financing news:

• IsoTis (Irvine, California), the orthobiologics company, reported that its stock began trading on the NASDAQ Global Market last week. The company’s ticker symbol is ISOT.

The company’s listing follows the successful completion of the first acceptance period of an exchange offer through which it acquired 75% of the shares in IsoTis SA (Lausanne, Switzerland). With all conditions of the exchange offer as set forth in the offer memorandum fulfilled, IsoTis declared the exchange offer unconditional last Thursday.

Pieter Wolters, president/CEO of IsoTis said: “With over 90% of our employees and over 75% of our revenues in the U.S., we believe a NASDAQ listing alongside our peers provides a natural market for our shares.”

IsoTis said it expects to fully consummate the offer in February, and it intends to delist from Euronext Amsterdam, SWX Swiss Exchange and the Toronto Stock Exchange.

The company said earlier this month that NASDAQ listing should provide benefits to stockholders by increasing visibility to institutional investors. “A listing on the NASDAQ Global Market among peer companies should assist investors in evaluating IsoTis by providing direct, easily accessible comparables,” it said in a statement earlier this month. “The improved visibility offered by a U.S. listing should help to increase U.S. analyst coverage, and thereby bring the company’s valuation more in line with that of its peers.”

It said the listing should improve access to U.S. institutional investors focused on medical device and growth companies, “who may be prohibited from investing in IsoTis as a non-U.S. listed stock.”

Further to the offer memoranda of Dec. 14, in which IsoTis reported its exchange offer for the outstanding shares of IsoTis SA (MDD, Dec. 18, 2006) and indicated that it may issue additional shares in a transaction following the exchange offer, IsoTis said it intends to raise $30 million-$40 million by offering newly issued NASDAQ-listed shares of its stock in a public offering (MDD, Jan. 9, 2007).

• Biolase Technology (Irvine, California), a maker of dental lasers, said that under the terms of a new licensing agreement to allow Procter & Gamble (P&G; Cincinnati) rights to use certain of Biolase’s intellectual property for consumer product development, P&G paid a $3 million up-front fee and will pay royalties based on product sales.

The consumer goods company will make milestone payments and quarterly payments of $250,000 until the first product is launched.

The companies did not provide details on the intellectual property included in the deal or what products might be developed.