Human Xtensions raised NIS 158 million in its IPO

The israeli medical device company Human Xtensions, which develops advanced hand-held tools for minimally invasive procedures, was listed last Tuesday on the Tel Aviv Stock Exchange after raising NIS 158 million in its IPO last week.

Human Xtensions was established in 2012 by CEO Dr. Tamar Frenkel, Chief Technologist Ziv Tamir and Mordechai Sholev. The company has developed an electro-mechanical system called HandX designed for laparoscopic surgery. Laparoscopy is a minimally invasive surgical procedure in which a camera and surgery tools are inserted into the patient’s body through a few millimeter wide incisions in the abdominal wall, allowing the surgeon to see the internal cavity, navigate the surgical instrument and perform the procedure.

Laparoscopy is an alternative to invasive surgeries in which a large incision is made in the patient’s body to allow direct access to the internal organ. Minimally invasive procedures mostly require a shorter recovery and rehabilitation time, but they do require high-level skill from the surgeon.

The HandX system includes an ergonomic operating unit held by the surgeon through which they control the tool inside the body, a robotic propulsion system that digitally translates the surgeon’s movements to the tool, and an end effector that include a needle holder and grasper. According to the company, the system provides high maneuverability in 4 degrees of freedom and a jaw rotation of 540-degrees, and allows to perform actions such as moving, cutting and sewing with great precision. The company’s device is approved for marketing by the FDA and CE.

The next generation will include artificial intelligence

The company has announced that it will use some of the funds raised to develop the next-generation HandX system, which will include AI capabilities to improve the level of safety, and increase the scope of procedures that can be performed using the device by adding more end effectors.

The medical device market for minimally invasive procedures is expected to grow from $5.7 billion in 2018 to $40 billion in 2027. Human Xtensions has a distribution agreement in Europe with the German pharma and medical equipment Corporation B. Braun, as well as distribution agreements in Israel and Egypt. According to the prospectus submitted by the company to the Stock Exchange, its revenues in the first half of 2020 amounted to approximately NIS 18.9 million.