Nanox raised $165 million in Nasdaq IPO

Nanox, the developer Digital CT devices and cloud-based diagnostic services from Jerusalem, has raised $165 million at NASDAQ IPO. Nanox issued 9.1 milion shares at a price of $18 per share. At its debut trading day, last Friday, its stock (Tickr: NNOX) jumped 20%. Nanox has developed a Digital Computed Tomography technology based on the production of X-rays using a MEMS instead of an incandescent lamp.

The company’s estimates its technology allows for the production of CT systems at a cost of $10,000 each, instead of approximately $3 million – the current average price of CT scanners. CT scanners perform multiple X-rays from different angles. A computer program is used to fuse all these images into a single three-dimensional file that allows the exploration of the body and its organs.

Pay per Scan

The development was carried out by a team of Israeli engineers and a team of Japanese engineers. The company is headed by the founder Ran Polyakin, former founder and CEO of the wireless charging Powermat. In additional to the lower price and size, Digital CT devices provide higher quality images, and having fewer errors resulting from relative movement between the scanner and the subject.

Also, they enable multi-spectral imaging, and real-time connectivity between the imaging system and the therapeutic devices, thus allows treatment to be performed under CT examination. The first commercial system, Nanox.ARC, comes with a cloud platform consists of AI-based assistive diagnostic tools and friendly user interface for the doctor.

The company markets the systems through collaborations with governments and health service organizations, and has signed distribution agreements in 13 countries. Nanox plans to offer the use of its systems in the format of a service: payment is determined according to the number of scans (Pay-per-Scan), thereby reducing the costs of acquisition.

Nanox has completed a $110 Million Funding Round

Above: Nanox founder and CEO, Ran Polyakin

Nanox, the developer Digital CT devices and cloud-based diagnostic services from Jerusalem, announced  the completion of a $110 million funding round. Among the prominent investors who participated in the round were Foxconn, Fujifilm and SK Telecom. The company has raised $137 million to date. Nanox developed digitalComputed Tomography technology based on the production of X-rays using a MEMS instead of an incandescent lamp.

According to the company’s estimates, the new technology will make it possible to produce CT systems at a cost of $10,000 per system, instead of approximately $3 million – the current average price of CT scanners. CT scanners perform multiple X-rays from different angles. Following the photography, a computer program is used to fuse all the images into a single three-dimensional file that allows the exploration of the body and its organs.

Business model of Pay-per-Scan

The development was carried out by a team of Israeli engineers and a team of Japanese engineers. The company is headed by the founder Ran Polyakin, former founder and CEO of the wireless charging Powermat. Aside from the lower price and size of the systems, digital CT devices provide higher quality images, and having fewer errors resulting from relative movement between the scanner and the subject.

Also, they enable multi-spectral imaging, and real-time connectivity between the imaging system and the therapeutic devices, thus allows treatment to be performed under CT examination. The first commercial, Nanox.ARC, comes with a cloud platform consists of AI-based assistive diagnostic tools and friendly user interface for the doctor.

The company markets the systems through collaborations with governments and health service organizations, and has signed distribution agreements in 13 countries. Nanox plans to offer the use of its systems in the format of a service: payment is determined according to the number of scans (Pay-per-Scan), thereby reducing the costs of acquisition.

Nanox Won 5,000 Units Orders for Digital X-ray CTs

Photo above: Ran Poliakine, Founder and CEO of Nano-X Imaging

Nano-X Imaging from Neve-Ilan, near Jerusalem, has signed an agreement to provide approximately 1,000 digital X-ray CT systems for medical imaging services across Australia, New Zealand and Norway. The company announced an exclusive distribution deal with The Gateway Group. Subject to receiving local regulatory approvals, the parties will collaborate on the deployment and operation of the Nanox.ARC and the Nanox.CLOUD.

The agreement guarantee a minimum service fee of $58 million per year for three years to Nanox. “We want medical imaging to be available in rural areas as well as major cities alike, and we look forward to working with the team at Gateway to help us realize this social agenda,” said Nanox, founder and CEO Ran Poliakine. This follows an agreement from February 2020 with Siemens Healthineers-backed USARAD. The companies will collaborate on the deployment of 3,000 Systems in the U.S., under Nanox’s MSaaS (Medical Screening as a Service) pay-per-scan business model.

Nanox System is comprised of the Nanox.ARC, a medical imaging system incorporating a novel digital X-ray source, as well as the Nanox.CLOUD, a companion cloud-based software that will be designed to provide an end-to-end medical imaging service expected to include image repository, radiologist matching, online and offline diagnostics review and annotation, connectivity to diagnostic assistive artificial intelligence systems, billing and reporting.

Nanox.ARC digital X-Ray imaging system
Nanox.ARC digital X-Ray imaging system

Nanox has built a novel “Electron Gun” based on a field emission array of a 100 million molybdenum Nano-cones (instead of the one metal filament used in legacy sources) enabling a controlled and steady generation of electrons using low voltage to achieve the same effect as the legacy X-ray source. The company estimates that its technology can significantly reduce the costs of medical imaging systems down to $10,000 per scanner.

According to a 2012 report from the Pan-American Health Organization and the World Health Organization, approximately two-thirds of the world population did not have access to medical imaging that year, while many people with access to medical imaging face substantial wait times for scanning. The availability of a lower cost device has the potential to substantially expand medical imaging availability and services across the globe.

In January 2020 Nanox has completed a funding round of $26M with participation of strategic investor Foxconn, bringing the total funds raised for the Nanox System project to $55M thus far. Foxconn joined Fujifilm, SK Telecom, and other private investors, who have previously invested in the company.