Vicarious Surgical is involved in the development of disruptive technology to enhance the efficiency of surgical procedures
US-based next-generation robotics technology company Vicarious Surgical has entered into a business combination agreement with special purpose acquisition firm D8 Holdings in a deal worth $1.1bn.
Established in 2014, Vicarious Surgical is engaged in the development of disruptive technology to enhance the efficiency of surgical procedures, improve patient outcomes and minimise healthcare costs.
Its novel surgical approach combines advanced human-like surgical robots and virtual reality to transport surgeons inside the patient to conduct minimally invasive surgery.
Vicarious Surgical’s technology secured breakthrough device designation from the US Food and Drug Administration (FDA) and is said to be the first and only surgical robot to receive this status from the FDA.
The company is supported by technology majors such as Bill Gates, Vinod Khosla’s Khosla Ventures, Eric Schmidt’s Innovation Endeavors, Jerry Yang’s AME Cloud Ventures, and Philip Liang’s E15 VC.
D8 Holdings co-founder and president Donald Tang said: “D8 reviewed numerous investment opportunities in search of an exciting growth company to merge with and Vicarious Surgical impressed us with their visionary team and market disrupting products.
“Beyond the technology and the capabilities of Vicarious Surgical’s robot, we were also excited about the positive feedback from surgeons and hospitals.
“We consider Vicarious Surgical to be a thought leader in the surgical space and we believe the market is ready for surgical robots that drive efficiency and improved quality of patient care.
“We are excited to work with the Vicarious Surgical team on the next phase of commercialization for their products, bringing what we believe is much needed innovation and choice to patients and practitioners, both in the U.S. and abroad.”
The deal is anticipated to delivery up to $460m of gross proceeds, including about $345m of cash held in D8’s trust account.
Subject to approval by D8’s shareholders and other customary closing conditions, the deal is expected to be completed in the third quarter of this year.
Credit Suisse is serving as financial advisor and capital markets advisor to Vicarious Surgical for the transaction, while UBS Investment Bank is acting as capital markets advisor to D8.
Once the deal concludes, the combined company will operate as a Vicarious Surgical and will be listed on the New York Stock Exchange (NYSE).