According to a recent 13G form filed with the Securities and Exchange Commission, Richard Mashaal‘s RIMA Senvest Management has disclosed an investment of about 64.96 million shares in the Israel-based healthcare company Medigus Ltd. (NASDAQ:MDGS). The holding amasses about 19.04% of the company’s outstanding shares and includes 20.63 million ordinary shares that are issuable upon exercise of warrants.
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The New York-based fund RIMA Senvest primarily invests in small-cap and mid-cap companies that have strong growth prospects, and often utilizes a contrarian approach while selecting these firms. As we will find out in this article, Medigus Ltd. (NASDAQ:MDGS) neatly fits this growth bill. The healthcare sector represented about 15% of the fund’s public equity portfolio’s market value, according to its latest 13F filing.
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Medigus Ltd. (NASDAQ:MDGS) recently completed its public offering in Israel of 70,250 units, for total proceeds of approximately NIS 26.8 million ($7.1 million), according to a Form 6-K filed with the SEC. Each unit comprised of 1,000 ordinary shares and 500 new Series 9 warrants, which trade on the Tel Aviv Stock Exchange (TLV) and are exercisable into one ordinary share at an exercisable price of NIS 0.532 ($0.14) until July 8, 2018.
Medigus Ltd. (NASDAQ:MDGS) is a medical device company engaged in the development of minimally invasive endosurgical tools, and is also a leader in direct visualization technologies. The company’s leading product is a unique proprietary endoscopic device, MUSE system (Medigus Ultrasonic Surgical Endostapler), which is used in the treatment of gastroesophageal reflux disease (GERD), a disease that affects between 10 to 20 million people in the U.S. according to The Society of Thoracic Surgeons.