London Stock Exchange welcomes AOTI, Inc. celebrating its successful admission to AIM
The London Stock Exchange welcomed the Board and management team from AOTI, INC. (the “Company” or “Group” or “AOTI”) to participate in the market opening following the Company’s successful admission to AIM. AOTI’s Common Shares were admitted to trading at 08:00 BST on 18 June 2024 under the ticker “AOTI”. The Company successfully raised gross proceeds of £35.1 million for itself and certain selling shareholders through a placing of 26,591,254 ordinary shares at a placing price of 132 pence per common share. AOTI's market capitalisation at the placing price of 132 pence per common share on admission was £140 million.
AOTI is a medical technology group, founded in 2006, with a mission to help all people with chronic conditions get back to living their lives to the fullest. Based in Oceanside, California, the Company is focused on the durable healing of wounds and prevention of amputations that are caused by various chronic wound conditions. Diabetic foot ulcers (DFUs) frequently result in hospitalisations in diabetics and are the leading cause of morbidity and lower extremity amputations in the diabetic population. In the US, DFUs have a similar five-year mortality risk (at 30.5 per cent) as all-cause cancer and in the US alone, the annual cost of diabetic foot care is c.$79 billion, which is comparable to the c.$80 billion annual cost spent for all cancer treatments.
The Company generated $43.9 million in revenue for the year ended 31 December 2023 and has seen compounded annual revenue growth of 38 per cent (2021 – 2023). AOTI is a market leader with over 80 per cent market share of the nascent topical oxygen wound therapy segment and is focused on the highest growth “hard to heal” advanced wound care market segment, in particular DFUs, venous leg ulcers (VLUs) and pressure ulcers (PUs). The Company is a leading proponent for the benefits of promoting health equity with its patient-applied, at-home therapies and is proud of its track record, having treated over 20,000 patients to date within a number of health care systems around the world.
The Directors believe that AOTI is ready to embark on its next stage of growth, given that the Company has achieved:
- Approvals by global regulators including the US, Europe, the UK, Canada, China, Saudi Arabia and Australia.
- Differentiating, robust, double-blinded RCT clinical data and real-world evidence demonstrating sustainable, complete wound-healing benefits.
- Recommendations by leading clinical associations as to the use of topical oxygen therapy as an adjunct to the standard of care (American Diabetes Association, The Wound Healing Society and the International Working Group on the Diabetic Foot).
- Proven real world efficacy and a significant overall cost-saving healthcare economic proposition (including the cost of TWO2® therapy).
- Experienced management team and Board in chronic disease focused on scaling and growth.
The net proceeds to the Company from the IPO will be used towards funding the continued expansion of the Group’s sales team in the US and opening up new territories in which the Group’s products can be sold whilst also repaying the Group’s existing financial debt. In addition, the Group will direct some funding towards continuing to enhance the clinical claims attached to its products, for instance, growing the evidence of efficacy in other indications such as VLUs.
