Aesthetic Ultrasound Maker Ulthera to Float $86 Million IPO

Mesa, AZ-based Ulthera, Inc., which sells its FDA-approved Ulthera System for the cosmetic non-invasive lifting of eyebrows and skin around the neck, has filed with the Securities and Exchange Commission (SEC) for an initial public offering (IPO) of its common stock.The company hopes to realize $86 million from the sale. The therapeutic ultrasound system, which received FDA 510(k) clearance for the eyebrows indication in December 2013, is said by the company to be "the first and only energy-based device to receive US FDA clearance for a non-invasive aesthetic lift indication." It is used in a procedure the company calls Ultherapy, which is a treatment to lift skin above the eyebrow, on the neck and under the chin. FDA had approved the neck and under-chin indications in October 2012.In its SEC Form S-1 applying for the IPO, the company indicated that it has submitted to expand the indications for its Ultherapy device to include the reduction in lines and wrinkles of the skin on the chest (décolletage). It has not yet, however, received any word from FDA regarding the status of that application.In March, Ulthera reported that it had acquired Cabochon Aesthetics, Inc. The FDA-cleared system developed by Cabochon, which is used in a procedure to improve the appearance of cellulite, will, Ulthera says, allow it to expand its technology offerings for physician practices worldwide. The minimally invasive Cabochon procedure targets the tight connective-tissue bands in the underlying structure of cellulite, known as fibrous septae. It uses an innovative precision-guided, vacuum-assisted approach to optimally release the restricting septae, improving the appearance of cellulite and providing a smoother look to the skin, according to the release announcing the deal.Angela Gonzales, writing for the Phoenix Business Journal, says the company has 160 employees and is debt free. It reported $11.8 million in net income on $82.2 million in net revenue for the year ended December 31, according to its S-1. That's up from a loss of $624,000 on $59.4 million in revenue for 2012, and loss of $2.3 million on $41 million revenue in 2011.

Stephen Levy is a contributor to Qmed and MPMN.