| Influence, Inc. | |||
| Proposed Ticker: | INFL | 601 Montgomery Street, Suite 845 | |
| Exchange: | NASDAQ-National Market | San Francisco, CA 94111 | |
| Industry: | Wholesale (SIC Code 5047) | (415) 421-5600 | |
| # of Employees: | 76 | ||
| Type of Shares: | Common Shares | Filing Date: | 8/6/97 | |
| U.S. Shares Filed: | 2,500,000 | Filing Range: | $11.00 - $13.00 | |
| Non-U.S. Shares Filed: | 0 | Offering Amount: | $30,000,000 | |
| Primary Shares: | 2,500,000 | Expenses: | $600,000 | |
| Secondary Shares: | 0 | Shares Out After: | 10,209,277 |
| Manager | Tier | Phone |
| Montgomery Securities | Lead Manager | (415) 627-2100 |
| Robertson, Stephens & Company | Co-manager | (415) 989-8500 |
| UBS Securities Inc. | Co-manager | (212) 821-4510 |
| Issuer's Law Firm: | Arnold & Porter |
| Bank's Law Firm: | Testa, Hurwitz & Thibeault |
| Auditor: | Price Waterhouse |
Dollar amounts in U.S. millions except for per share data | |||||
| 6 Month Ending Financials | |||||
| Full Year Audited Income | Latest Unaudited Income | Prior Unaudited Income | Balance Sheet | ||
| 12/31/96 | 6/30/97 | 6/30/96 | 6/30/96 | ||
| Revenue: | $0.00 | $0.00 | $0.00 | Assets: | $13.98 |
| Net Income: | -$5.77 | -$4.83 | -$1.46 | Curr Assets: | $13.08 |
| EPS: | -$0.78 | -$0.65 | Liabilities: | $1.25 | |
| Prior EPS: | -$4.57 | -$1.27 | Curr Liabilities: | $1.25 | |
| Cash Flow/Oper: | -$5.54 | $1.00 | Equity: | $12.73 | |
| Cash Flow/Fin: | $23.09 | -$5.52 | -$0.28 | Cash: | $11.95 |
| Cash Flow/Inv: | -$0.81 | -$5.52 | Working Cap: | $11.83 | |
| Business Description |
| The company is engaged in the design, development and commercialization of a disease management system of products for the diagnosis and treatment of urinary incontinence in both women and men. The company's products under development include diagnostic tools, remote controlled intraurethral valved catheter systems and proprietary surgical tools and equipment for performing minimally invasive surgery to restore continence. These products are designed to address the inadequacies of current diagnostic and treatment options and to patient satisfaction. The company intends to offer the physician a range of complementary diagnostic and therapeutic products for the management of incontinence. The company recently filed a 510 (k) Pre-Market Notification with the U.S. FDA for its In-Tac Surgical System to treat women with incontinence. The In-Tac System incorporates the company's proprietary bone anchors and anchor insertion device to enable a minimally invasive transvaginal bladder neck suspension procedure. |
| Competition |
| The Company is engaged in rapidly evolving and highly competitive fields. The Company believes that the primary competitive factors include the level of physician and consumer awareness and acceptance of available treatment methods, consistency of product quality and delivery, price, technical capability and the training of health care professionals and consumers in the use of available treatment methods. The Company's ability to compete in this industry will also be affected by its product development capabilities and innovation, its ability to obtain required regulatory clearances and approvals, its ability to protect the proprietary technology included in its products, its manufacturing and marketing capabilities and its ability to attract and retain skilled employees. Current major competitors who compete in the incontinence market include Kimberly-Clark Corp., Procter & Gamble Co., Johnson & Johnson, C.R. Bard Inc., Kendall Co., Mentor Corp. and Baxter Technologies, Inc. Current major competitors who compete in the market for surgical or implantable products for incontinence include Boston Scientific Corporation, American Medical Systems, Inc., C.R. Bard, Inc., Mentor Corp. and Johnson & Johnson. The Company is aware that Rochester Medical Corp., UroQuest Medical Corporation, UroHealth Inc., UroMed Corp. and HK Medical Technologies have developed or are developing intra-urethral devices for the treatment of incontinence. Companies with devices available or under development to treat OSA or snoring include Healthdyne Technologies Inc., Nellcor Puritan Bennett Incorporated, Respironics, Inc., ResMed, Inc. and Somnus Medical Technologies, Inc. Many of the Company's competitors and potential competitors have significantly greater financial, manufacturing, marketing, distribution and technical resources and experience than the Company. It is possible that other large health care and consumer products companies may enter markets targeted by the Company. Furthermore, academic institutions, governmental agencies and other public and private research organizations will continue to conduct research, seek patent protection and establish arrangements for commercializing products. Such products may compete directly with any products which may be offered by the Company. Finally, competitors in the medical device industry have in the past and may in the future employ litigation to gain a competitive advantage. |
| Business Plan |
| The company's primary goal is to develop an innovative disease management system of products for the diagnosis and treatment of urinary incontinence in both women and men. The company also plans to selectively leverage its proprietary technologies in additional markets. Key elements of the company's business strategy include: (I) Develop a broad portfolio of products addressing female and male incontinence, (ii) Penetrate the worldwide incontinence market, (iii) Pursue third-party reimbursement, (iv) Leverage core technologies to address additional markets and (v) Achieve technological leadership. |
| Use of Proceeds |
| The proceeds from the proposed offering will be used for research and product development; expansion of sales, marketing and manufacturing capabilities; repayment of notes payable to a stockholder; and working capital and other general corporate purposes. |
| Name of Shareholder | % Owned Before | % Owned After |
| Oren Globerman | 16.75% | 12.65% |
| Mordechay Beyar, M.D. | 13.59% | 10.26% |
| Lewis C. Pell | 10.70% | 8.08% |
| Katsumi Oneda | 10.19% | 7.69% |
| Medtronic Asset Management, Inc. | 5.45% | 4.11% |
| Officer Name | Title | Age |
| Lewis C. Pell | Chairman of the Board of Directors | 53 |
| Peter A. Bick, M.D. | Chief Executive Officer, President and Director | 43 |
| Oren Globerman | General Manager of IMT and Vice Chairman of the Board of Directors | 37 |
| Mordechay Beyar, M.D. | General Manager of IMT and Vice Chairman of the Board of Directors | 41 |
| John M. Harland | Vice President, Finance, Chief Financial Officer and Treasurer | 45 |
| Michael Arad | Vice President, Manufacturing of IMT | 50 |
| Nir Cohen | Vice President, Operations of IMT | 34 |
| Ze'ev Sohn, Ph.D. | Vice President, Research of IMT | 36 |