16 C
New York
Monday, September 20, 2021

Why did Iridex Corporation (IRIX) stock soar 13%

Iridex Corporation (IRIX) is in the business of ophthalmic laser-based medical products and consumable instrumentation for the treatment of retinal diseases such as short-sightedness and glaucoma. Its products include laser controls and laser photocoagulation systems as well as ENT products powered by its Micro-pulse technology.


3 Tiny Stocks Primed to Explode The world's greatest investor — Warren Buffett — has a simple formula for making big money in the markets. He buys up valuable assets when they are very cheap. For stock market investors that means buying up cheap small cap stocks like these with huge upside potential.

We've set up an alert service to help smart investors take full advantage of the small cap stocks primed for big returns.

Click here for full details and to join for free

Sponsored


The company’s geographical segmentation includes the US, Europe, and Asia. Iridex products are also sold in Germany through direct sales and in more than 100 countries through independent distribution.

Iridex corporation shares were extending gains in pre-market trading on Wednesday. The stock was up 13.21% after IRIX closed Tuesday’s trading at $6.89, up to $0.65 or 10.42%, on the Nasdaq. About 273,499 shares were traded on Tuesday. The shares were opened at $6.10 and stayed within the ball-park figure of $6.97 to $5.93. After the capital-gain on Tuesday, IRIDEX Corporation now has increased its market capitalization to $95.75 million.

Topcon has purchased exclusive rights for distribution and production of Iridex’s eye and glaucoma products in certain globalized markets. It also acquired a common equity stake of approximately 10.4% in Iridex becoming a major share holder in the company.

 Topcon have purchased $10 million worth of Iridex common shares at a price of $6.18 per share. The cash proceeds are predicted to be about approximately $19.5 million before offering expenses.

Iridex plans to use the capital for strategic marketing initiatives, particularly focusing on market penetration of Iridex’s unique non-surgical glaucoma therapy products.

Strategic relationship with Topcon Corporation.

The established collaboration between Iridex and Topcon includes three main contractual agreements: an Asset Purchase Agreement an Exclusive Distribution Agreement, and an Equity Funding Agreement.

 The conditions of these agreements include, Topcon acquiring exclusive distribution of Iridex laser systems, delivery devices and disposable probes to be sold through its strong networks in Asia and key EMEA regions.Furthermore, Topcon’s PASCAL® systems will be added to IRIX’s supply chainin the U.S. and rest-of-world distribution network. Iridex will also acquire the design and production operation of Topcon’s PASCAL® product line.

CONCLUSION

Topcon Corporation, A Japanese-based producer and distributor with approximately $1.3 billion in annual revenues, brings about a large distribution network for the Iridex product line. Iridex has been a pioneer for non-inclusive surgical equipment and a business collaboration with Topcon corporation has shown to be extremely significant in increasing the company’s valuation.

Get The Best Stocks To Trade Every Day!

Join now to get the NewsHeater.com pre-market morning brief 100% free

Related Articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest Articles

Get The Best Stocks To Trade Every Day!

Join now to get the NewsHeater.com pre-market morning brief 100% free

Get Notified Of Insider Trades, Analyst Upgrades & Downgrades, Earnings Updates & Best Stocks To Trade Every Single Morning

100% free. stop anytime no spam

Get The Best Stocks To Trade Every Day!

Join now to get the Newsheater.com pre-market morning brief 100% free

We do not sell or share your information with anyone.