By Colin Kellaher
Medical-technology company Firefly Neuroscience is going public through an all-stock reverse merger with WaveDancer, an IT-services provider with a market capitalization of around $3 million.
WaveDancer on Thursday said its shareholders will own around 8% of the combined company, which will operate under the Firefly name and focus on the continued development and commercialization of Firefly’s AI-driven Brain Network Analytics, which has been approved by the U.S. Food and Drug Administration.
A reverse merger allows a private company to go public by merging with a listed company at a lower cost than is involved in a traditional initial public offering.
WaveDancer, based in Fairfax, Va., said its Tellenger operating unit will be divested through a transaction closing simultaneous to the Firefly merger, which is slated to close in the first quarter of 2024.
Trading in shares of WaveDancer, which closed Wednesday at $1.58, was halted premarket Thursday.
Write to Colin Kellaher at colin.kellaher@wsj.com
Read the full article here
