Philips completes transaction with Profound Medical Corp.

Royal Philips (NYSE: PHG, AEX: PHIA) (“Philips”) today announced that it has completed the transaction with Profound Medical Corp. (TSXV: PRN; OTCQX: PRFMF) (“Profound”). 

As previously announced, on June 30, 2017, Philips and Profound entered into an asset and share purchase agreement (the “Purchase Agreement”) pursuant to which Profound agreed to acquire Philips’ Magnetic Resonance-Guided High Intensity Focused Ultrasound business (the “MR-HIFU Business”) in exchange for 7,400,000 Profound common shares (“Acquired Shares”) to be issued to Philips by way of a private placement (the “Transaction”). The completion of the Transaction occurred July 31, 2017, whereby Philips received the Acquired Shares, which have been approved for listing on the TSX Venture Exchange.

Immediately prior to the completion of the Transaction, Philips did not own or control any Common Shares. Immediately following the completion of the Transaction, Philips owns and controls an aggregate of 7,400,000 Common Shares, representing approximately 13% of Profound’s issued and outstanding Common Shares. 

Subject to applicable law, Philips may purchase or sell securities of Profound from time to time as it deems appropriate based on market conditions and other circumstances. Under the Purchase Agreement, Philips has agreed not to sell, transfer or otherwise dispose of its interest in the Acquired Shares for 1 year following the completion of the Transaction. 

Profound’s head office is located at Profound Medical Corp., 2400 Skymark Avenue, Unit 6, Mississauga, Ontario L4W 5K5.