Union MedTech plc raises £10 million to commercialise and develop REX, a hands-free robotic exoskeleton

Company to be admitted to AIM with a market capitalisation of £25.7 million

Union MedTech plc today announces it is to be admitted to the AIM market of the London Stock Exchange with a market capitalisation of £25.7 million. On Admission, the acquisition by Union MedTech of REX Bionics Limited (“REX Bionics”) will complete and the Company will change its name to Rex Bionics plc.

The Placing, conducted by Oriel Securities, has raised £10.0 million gross (£8.8 million net for the Company). The monies raised will be used to fund the commercialisation and development of REX, a hands-free robotic exoskeleton for use by wheelchair users, developed and manufactured by REX Bionics.

Shares in the Company are expected to start trading on the AIM market of the London Stock Exchange on 8 May 2014 and trade under the ticker symbol “RXB”. Accordingly, the Company announces that the Ordinary Shares will be withdrawn from ISDX Growth Market with effect from the close of business on 7 May 2014.

The AIM Admission Document is available here.

Jeremy Curnock Cook, Chief Executive Officer of Union MedTech plc, commented:

Our successful admission to AIM represents a defining point in the development of the Company. We are now well-funded to scale up our production and marketing capabilities to meet the growing demand of wheelchair users worldwide to gain access to the life-changing and unparalleled REX technology.

We are delighted to welcome our new investors and would like to thank them, and existing shareholders, for their support.

Admission Statistics

Placing Price: 180p per Ordinary Share
Number of Ordinary Shares in issue immediately following Admission: 14,289,360
Market Capitalisation at the Placing Price: £25.7 million
Total number of Placing Shares: 5,555,556
Gross proceeds of the Placing: £10.0 million
Estimated net proceeds of the Placing: £8.8 million
Placing Shares as a percentage of the Enlarged Share Capital: 38.9%

Strategy

  • Rex Bionics is a developer and manufacturer of hands-free robotic exoskeletons for use by wheelchair users
  • REX Bionics will initially target the spinal cord injury market in the US and Europe
  • The Company’s key focus will be the rehabilitation market
  • It was estimated that in the US alone there were approximately 2.8 million wheelchair users and 5.6 million people living with some degree of paralysis. Annually it is estimated that there are 12,000 new cases of spinal cord injury each year in the US with a similar number of SCI cases in Europe
  • The estimated cost to the US healthcare industry of spinal cord injury is approximately US$40.5 billion
  • REX Bionics is working on the next generation of the product, REX 3, which it plans to be lighter, faster and more accessible to its market

Benefits of REX and Competitive Advantages

  • REX is believed to be the world’s only commercially available self-supporting, independently controlled robotic exoskeleton, without the need to use crutches or a walking frame
  • The Directors believe that there are significant health benefits associated with enabling the user to stand and walk
  • REX Rehab is registered with the Food and Drug Administration for sale in the USA and has a CE mark in Europe
  • REX Personal enables users to navigate stairs and slopes safely in a controlled environment (i.e. compliant with common, accessible building standards) and has a CE mark in Europe

Enquiries

UNION MEDTECH PLC
Peter Worrall, Chief Financial Officer
+44 (0)142 864 5416

ORIEL SECURITIES LIMITED (Financial Advisor)
Juliet Thompson / Jonathan Senior
+44 (0)20 7710 7600

PETERHOUSE CORPORATE FINANCE LIMITED (ISDX Corporate Advisor)
Eran Zucker / Fungai Ndoro
+44 (0) 20 7469 0932

CONSILIUM STRATEGIC COMMUNICATIONS
Emma Thompson / Mary-Jane Elliott / Jessica Hodgson / Lindsey Neville
+44 (0) 20 7920 2354
UMT@consilium-comms.com

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