Tactile Systems Technology Inc., Minneapolis, has lowered the offering range of its proposed initial public stock offering in hopes of getting their deal priced. In doing so they'll raise significantly less money.
In an amended filing with the Securities and Exchange Commission on Wednesday the company lowered the proposed offering price to $10 per share. At $10 per share the company could raise as much as $46 million, if underwriters exercise their overallotment.
In early June the company proposed an offering range of $14 to $16 per share for 4 million shares, which would have raised as much as $73.6 million, depending on the sale of additional shares by underwriters in an overallotment.
Tactile intends to use proceeds of the offering to expand its sales, marketing, reimbursement, clinical, regulatory and product development activities.

Offering documents generally list an offering range of a couple dollars, narrowing that to a single price may be an indication the deal is closer to completion.
Tactile Systems, aka as Tactile Medical, filed an initial registration statement with the SEC for an IPO on January 25th and has filed three other amendments. The update on June 9th was the first list an offering range and the number of shares to be offered.
Renaissance Capital, which tracks IPOs and is a manager of IPO-focused ETFs, had Tactile on its calendar of offerings to be priced in July. In their weekly note on expected pricings published July 15 Renaissance Capital expected Tactile Medical's offering to price any day.
IPO pricings are already way behind the pace set in 2015. According to Renaissance Capital the number of completed IPOs in 2016 is 49, down 58 percent from the number of IPOs completed in 2015.