Lifeward Ltd., a global leader in medical technology for physical disabilities, has announced a definitive agreement to acquire key technology assets from Skelable Ltd. This strategic acquisition, valued at $480,000 in equity plus a nominal cash payment, involves a robotic upper-body orthotic device with artificial intelligence capabilities. The move signals Lifeward's significant expansion from lower-limb solutions into the broader field of whole-body neuro-rehabilitation.
A Strategic Expansion into Upper-Limb Rehabilitation
The acquired technology is a powered upper-extremity orthotic system designed to restore function for individuals with weakened or paralyzed arms and hands. Primarily targeting post-stroke patients, the device aims to enable the performance of daily activities that would otherwise be impossible. It also supports key therapeutic goals, including muscle re-education and the improvement of the user's overall range of motion.
Mark Grant, President and CEO of Lifeward, described the technology as a natural extension of the company's renowned ReWalk® platform. He emphasized that the acquisition accelerates Lifeward’s evolution into a comprehensive neuro-rehabilitation company focused on restoring patient independence. This expansion broadens the company's addressable market and strengthens its relationships with payers and prescribers in the rehabilitation community.
Integrating Advanced Technology and Talent
A crucial component of the agreement is the integration of Skelable's core engineering team into Lifeward. This team brings over 60 years of combined experience in electrical, software, mechanical, and industrial design. Their inclusion is expected to ensure a seamless transfer of technology and intellectual property while significantly boosting Lifeward's internal innovation capabilities.
According to David Hexner, Lifeward's Vice President of Research and Development, the system is intentionally designed around the human experience. It combines advanced sensing and adaptive AI control with an intuitive, comfortable design for the patient. This results in a next-generation platform that delivers personalized therapy while upholding medical-grade standards for safety and reliability.
Market Opportunity and Commercial Synergies
This acquisition targets a substantial and underserved market, particularly for upper-limb impairment following a stroke. In the United States alone, 245,000 new stroke survivors each year could be candidates for such neuro-rehabilitation technologies. The total addressable population includes an estimated 4.6 million individuals in the U.S. who remain disabled after a stroke.
Lifeward anticipates compelling commercial synergies between the new upper-body exoskeleton and its existing product line. The company can leverage its established relationships with physical medicine physicians, neurologists, and specialized rehabilitation centers. This overlap in prescribers and clinical settings is expected to create a more efficient and scalable go-to-market strategy.
The company is confident that the upper-limb orthotic program aligns well with existing U.S. reimbursement frameworks for advanced assistive technologies. Lifeward plans to utilize established Centers for Medicare & Medicaid Services (CMS) pathways, including specific coding structures for upper-limb exoskeletons. This strategic alignment is crucial for ensuring broad patient access and successful commercial adoption upon launch.
Future Outlook and Financial Details
Following additional development and the necessary regulatory approvals, Lifeward expects the new upper-body exoskeleton to be ready for commercial launch within 18 to 24 months. The company projects that the product will achieve attractive gross margins and favorable unit economics over the long term. This timeline positions Lifeward to capitalize on the growing demand for advanced rehabilitation solutions in the near future.
The transaction is structured with a total consideration of $480,000 in Lifeward equity, which will be paid in installments as specific milestones are achieved. A nominal cash payment will also be made at the closing of the deal. The agreement is contingent upon customary closing conditions, with the securities being issued in a transaction not involving a public offering.
This strategic acquisition of Skelable's technology marks a pivotal moment for Lifeward, advancing its mission to become a comprehensive, whole-body neuro-rehabilitation leader. By expanding its portfolio to include upper-limb solutions, the company not only addresses a significant unmet clinical need but also strengthens its market position. The move is poised to drive long-term growth and enhance the quality of life for millions of individuals with physical limitations.