eXroid was founded in 2013 to bring Ultroid US electrotherapy treatments for haemorrhoids from the US to Europe. The company has subsequently severed ties with the US group and is developing its own electrotherapy machines in order to treat patients in clinics throughout the UK.
The target is to raise £700,000-£950,000 at £60 per share. The intended closing date will be 5th April 2018, or at the company’s discretion. The company has raised £625,000 to date from “friends and family”, as well as £290,000 from existing and future directors and a further £406,000 from eight doctors. The issue has received Advance Assurance from HMRC. There will probably be a trade sale in due course.
The company’s historical accounts are unaudited and will not be audited going forward unless expressly required by major shareholders. eXroid needs to obtain CE approval of equipment it has designed and produced before treatments resume. eXroid recruits doctors and hires clinics, as required. Prior to recall, it was operating from 14 clinics with 15 contracted doctors.
The new eXroid machine passed all electrical safety tests required to achieve CE compliance. Management plans to place the first order for 25 machines, sufficient to service the first year’s projections, in 1Q 2018. eXroid has yet to gain final CE approval, and any slippage will defer the planned commencement of treatments beyond June 2018. Any new entrants into the market could potentially disrupt eXroid’s business model.