Medical device company Insightec laying off 100 employees, 20% of workforce
Medical device company Insightec laying off 100 employees, 20% of workforce
The Israeli company has developed a platform that focuses on sound waves, guided by MRI, to provide tremor treatment to patients with medication-refractory essential tremor and Parkinson's disease
Medical device company Insightec is laying off 100 of its employees, Calcalist has learned. This represents approximately 20% of the company's workforce.
Calcalist has learned that 60 of the employees are being laid off from the company's headquarters in Israel at Tirat Carmel, while the remainder are from locations around the world. The company is also active in Miami, Dallas, Munich, Tokyo, Shanghai, and Almaty in Kazakhstan.
Insightec has developed a platform that focuses on sound waves, safely guided by MRI, to provide tremor treatment to patients with medication-refractory essential tremor and Parkinson's disease.
The company is managed by its founder, Dr. Kobi Vortman, and is under the control of the Koch family—one of the wealthiest families in the world. The family owns about 40% of Insightec shares. Other investors include Elbit Imaging, York Capital, Focus Holdings, GE Healthcare, GEOC, and Meditech Advisors.
Approximately two years ago, Insightec was in talks to merge with a SPAC at a value of $1.9 billion, but the deal did not materialize and the company's valuation plummeted.
Last September, Insightec announced that it signed a credit facility for up to $200 million with affiliates of existing shareholders Perceptive Advisors and Community Fund. The financing provided Insightec with $100 million at closing, with an additional $100 million of financing potentially available in tranches through 2024. The credit facility is interest-only for five years and matures on August 31, 2027.
