Imricor Medical Systems, Inc. — Initiation of Coverage

Imricor has spent two decades building an integrated MR-compatible platform for treating Heart Arrhythmia, a condition affecting 1 in 4 people over 74. Its NorthStar-led iMR ecosystem aims to shift procedures away from x-ray fluoroscopy and toward real-time, radiation-free MR guidance — a potentially safer and more precise approach to treating cardiac arrhythmias.

• Two decades of R&D now converting into approvals: Imricor began developing MR-compatible catheters and systems in 2006. Over the past two years, the company has secured EU MDR approvals across key second-generation platform components and multiple U.S. FDA 510(k) clearances, with the remaining U.S. ablation approvals progressing. First-in-human iMR procedure milestones have also supported the technical thesis. We view the remaining regulatory pathway as materially de-risked, with timing now the key variable.
• CY26: acceleration begins: FY25 was a transition year, delivering regulatory and clinical validation, commercial readiness, and balance sheet strength. We see CY26 as the first year of meaningful growth ahead of a step change in CY27 as U.S. commercialisation gets underway.
• Funded through the next inflection: Following IMR’s May 2026 raise, the company had pro forma cash of approximately A$103m. We forecast cash burn to continue through 2028, but believe IMR’s strengthened balance sheet can sustain the company through commercial scale-up and to FCF break-even.

Valuation and recommendation: We initiate on Imricor with a DCF-based valuation of A$3/share, implying >70% upside to the current market price. While IMR remains pre-commercial revenue today, we believe its combination of regulatory progress, technical validation, and a deep hardware/software moat makes commercialisation increasingly a question of timing rather than feasibility. AI is more likely to enhance the platform than disrupt it.

Fig 1: X-ray guided imaging

Source: Youtube

Fig 2: NorthStar guided imaging

Source: Imricor website