Business Context and Reporting Period
This Form 8-K was filed by Second Sight Medical Products, Inc. on May 8, 2018, reporting events occurring on May 3, 2018. The filing details a private placement of common stock entered into with entities beneficially owned by Gregg Williams, the Company's Chairman of the Board.
Key Financial Metrics
- Gross Proceeds: Approximately $10 million.
- Shares Issued: 6,756,757 shares of common stock.
- Price Per Share: $1.48 (based on the last reported sale price on May 3, 2018).
- Transaction Costs: No placement agent or investment banking fees were incurred; no warrants or discounts were provided.
- Closing Date: May 7, 2018.
Note: This filing does not provide data on revenue, profit, operating cash flow, margins, or existing debt levels.
Material Changes
The primary material change is the increase in equity capital and share count resulting from the private placement. The transaction was executed under an exemption from registration pursuant to Rule 506 of Regulation D and Section 4(a)(2) of the Securities Act of 1933.
Use of Proceeds and Outlook
Management intends to use the $10 million in proceeds to fund current-year initiatives, specifically:
- Completing enrollment and data gathering for the Orion Cortical Visual Prosthesis System feasibility study.
- Implementing the Centers of Excellence strategy to drive adoption of the Argus II Retinal Prosthesis System.
- Completing development and seeking regulatory approval for next-generation Argus II externals.
- Pursuing regulatory approvals to expand the treatable population for Argus II to include better-vision patients.
- Providing working capital and general corporate purposes.
Investor Verification Checklist
- Verify the final closing date and actual share issuance count against the May 7, 2018 press release.
- Confirm the beneficial ownership percentage of Gregg Williams post-transaction to assess potential dilution or control implications.
- Review the attached Securities Purchase Agreement (Exhibit 10.1) for any restrictive covenants or registration rights not detailed in the summary.
- Monitor subsequent filings for updates on the Orion study enrollment and Argus II regulatory milestones.