The IPO Buzz: CeriBell Upsizes IPO by 74 Percent to Raise $175 Million

CeriBell (CBLL Proposed), the maker of an AI-assisted medical device system to monitor critically ill patients at risk for seizures, increased its IPO’s size by 74 percent to raise $175 million in an SEC filing early today, Wednesday, Oct. 9, 2024. CeriBell now is offering 10.61 million shares (10,606,060 shares) – up from 6.7 million shares initially – at a new price range of $16.00 to $17.00 – up from $14.00 to $16.00 originally – to raise $175 million, according to an S-1/A filing dated Oct. 9, 2024. Under the new terms, CeriBell’s IPO will raise $74.5 million more than it would have under the original terms. CeriBell will have a market cap of $561.31 million under the new terms, if the IPO is priced at $16.50, the mid-point of its new range. CeriBell also disclosed insider interest for an aggregate of up to $40 million – or 22.86 percent of the IPO under its new upsized terms, according to the Oct. 9, 2024, filing. The SEC document says: “Certain of our existing stockholders, including Longitude Capital, The Rise Fund (which are affiliated with our board members, Juliet Tammenoms Bakker and Lucian Iancovici, M.D., respectively), Ally Bridge Group and Red Tree, each of which owns 5% (5 percent) or more of our capital stock prior to this offering, have indicated an interest in purchasing up to an aggregate of approximately $40 million of shares of our common stock in this offering at the initial public offering price (which would represent approximately 22.9% of the shares sold in this offering, assuming an offering price of $16.50 per share, which is the midpoint of the estimated price range).” BofA Securities and J.P. Morgan are the joint book-runners. The increase of 74.1 percent  in the IPO’s size comes hours ahead of the books closing, which is scheduled for 4 P.M. EDT today, Oct. 9, 2024. CeriBell’s IPO is set for pricing Thursday night, Oct. 10, 2024, to trade Friday, Oct. 11, on the NASDAQ. CeriBell is a commercial medical device company whose EEG platform and hardware is being used by hospitals to monitor critically ill patients at high risk of seizures. The system uses a proprietary AI-driven algorithm to help interpret the data, the prospectus says.  (For more information about these companies, please check the IPO Calendar and the individual IPO Profiles found on IPOScoop.com’s website.) Note: Never trade on proposed symbols. They have been known to change and you might buy something on the OTC Bulletin Board. To see what time the NASDAQ IPOs are expected to trade, please log in to: NASDAQTrader.com then scroll down to IPO Message. Disclosure: Nobody on the IPOScoop.com staff has a position in any stocks mentioned above, nor do they trade or invest in IPOs. The IPOScoop.com staff does not issue advice, recommendations or opinions. Disclaimer: A SCOOP Rating (Wall Street Consensus of Opening-day Premiums) is a general consensus taken, at press time, from Wall Street and investment professionals concerning how well an IPO might perform when it starts trading. The SCOOP Rating does not reflect the opinions of anyone associated with IPOScoop.com. The SCOOP ratings should not be taken as investment advice. The rating merely reflects the opinion of the professionals at the time of publication and is subject to last-minute changes due to market conditions, changes in a specific offering and other factors, such as changes in the proposed offering terms and the shifting of investor interest in the IPO. The information offered is taken from sources we believe to be reliable, but we cannot guarantee the accuracy.