Neovasc Inc. priced an underwritten public offering of 11,111,111 common shares at 45 cents apiece to raise gross proceeds of about $5 million.

The Richmond, British Columbia-based medical device company expects to raise about $4.3 million in net proceeds from the offering.

Funds from the offering will cover development and commercial activities for Neovasc Reducer. The company will also use the proceeds from the offering to support the development of Tiara as well as for general corporate purposes and working capital.

Neovasc Reducer is used to treat inadequate blood flow to the heart as a result of refractory angina, while Tiara is being developed to treat mitral valve disease, a condition that disturbs the blood flow in the left side of the heart and can lead to heart failure and death.

Neovasc expects to close the offering on or about March 15, subject to closing conditions, including approvals and listing of common shares on the Toronto Stock Exchange and the Nasdaq Capital Market.

H.C. Wainwright & Co. is the sole book-running manager for the offering.