Surgalign announces stock offering to raise capital

DEERFIELD - Surgalign Holdings Inc., a global medical technology company, said Monday it has entered into a definitive agreement with a single institutional investor for the sale and issuance of up to 7.5 million shares of the company's common stock.

The gross proceeds to Surgalign from this offering are expected to be $12 million, before deducting the placement agent's fees and other offering expenses, the company said.

Surgalign intends to use the net proceeds from this offering for working capital and general corporate purposes, including the implementation of its cost-cutting initiative, as well as for the preparation for approval, utilization and ongoing development of its digital health offerings.

Earlier this month, Surgalign announced a corporate restructuring at an estimated cost of $5.5 million to $7.0 million, including $3 million to $3.5 million in employee-related severance costs.

Surgalign is committed to the promise of digital health to drive transformation across the surgical landscape. It markets products throughout the United States and in approximately 50 countries through a network of independent distributors.