News & Events

Sunshine Heart Inc. (ASX: SHC), a global medical device company focused on innovative technologies for moderate to severe heart failure, today announced the successful completion of its non-renounceable rights issue to existing shareholders, raising a total of A$ 9.5 million. 88 percent of entitlements were taken up under the rights issue including the shortfall facility, leaving 44,761,364 shares unsubscribed.

The rights issue follows the Company’s recent successful placement to US institutional investors raising A$3.7 million (announced 16 September 2010), bringing the total proceeds to A$13.2 million before deducting fees and expenses.

Majority Australian shareholders, GBS Venture Partners and CM Capital, both continued their strong support for the Company, taking up their full entitlements and also some of the shortfall, for an aggregate amount of $6.6 million.

Sunshine Heart Chief Executive Officer Dave Rosa said, “We are delighted to have such strong support from existing shareholders and welcome new US institutional investors during this exciting and pivotal period for Sunshine Heart.”

The capital will be used to fund the key activities of the Company. The most important of these is to advance the regulatory trials in the US by completing the current 20-patient feasibility trial and six-month patient follow up, then preparing the application for the larger FDA pivotal trial which is the precursor for marketing approval in the US. The Company expects to have approval for this trial and to start implants during 2011.

The money will also be used to apply for CE Mark approval in 2011 which will allow the C-Pulse heart assist device to be marketed in Europe and parts of Asia.

The Company will continue its development of a new, single unit C-Pulse driver as well as introducing product changes to facilitate minimally invasive implant procedures.

The successful US placement was managed by specialist healthcare investment firm Summer Street Research Partners Inc. The non-renounceable rights issue was managed by RBS Morgans in Australia.