ESC Medical Systems Ltd.
Ticker: ESCMF 9 Haezel Street
Exchange: NASDAQ-National Market Tirat Carmet, Foreign 30200
Industry: Wholesale 9724574123

Type of Shares:Ordinary Shares Filing Date:12/8/95
U.S. Shares:3,100,000 Offer Date:1/24/96
Non-U.S. Shares:0 Filing Range:$12.00 - $14.00
Primary Shares:2,330,769 Offer Price:$15.00
Secondary Shares:769,231 Gross Spread:$1.05
Offering Amount: $40,300,000 Selling:$0.63
Expenses:$900,000 Reallowance:$0.10
Shares Out After:10,208,112

ManagerTierPhone
Smith Barney Inc.Lead Manager (718) 921-8473
Montgomery SecuritiesCo-manager 4156272220

Auditor: Arthur Andersen
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/94 9/30/95 9/30/94 9/30/95
Revenue:$1.13$4.72$0.42Assets:$3.96
Net Income:-$0.50$1.56-$0.71Liabilities:$1.65
EPS:-$0.19$0.22-$0.28Equity:$2.30

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company develops, manufactures and markets medical devices using proprietary intense pulsed light technology for non invasive treatment of varicose veins and other benign vascular lesions, as well as other clinical applications. Pulsed light technology forms the basis for the company's initial product, the PhotoDerm VL, of which over 90 units have been sold as of November 30, 1995 and are operational in clinics and physician offices throughout the world. The company's patented technology uses thermal energy generated by an intense pulsed light source to selectively eliminate unwanted lesions without damaging the surrounding healthy tissues. The company markets its products in the United States primarily to dermatologists, vascular surgeons, plastic surgeons ad phlebologists, utilizing an experienced direct sales force supplemented by regional distributors specializing in the sale of medical equipment. In the rest of the world, the Company markets primarily through distributors and through its majority-owned German subsidiary.

Use of Proceeds
The proceeds from the offering will be used for expansion of marketing activities, additional research and development, working capital and other general corporate purposes, including possible acquisitions of businesses, products or technology.

Last updated: 10/28/96

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