InMode Ltd. (NASDAQ:INMD) saw its stock rise 2.5% in premarket trading on Monday following the company's confirmation that it is conducting a strategic review. The Israel-based medical technology firm said it has set up a committee of independent directors to oversee the evaluation of potential alternatives.
The independent committee has engaged outside legal and financial advisers to assist in assessing any proposals that may be submitted. The company stated the review will consider proposals that could involve third parties or entities affiliated with management.
The announcement arrives amid market conjecture, including reports of a non-binding proposal from Steel Partners Holdings L.P. to acquire 51% of InMode's outstanding shares and recent public statements attributed to the chief executive officer. InMode highlighted that these reports do not change the uncertain nature of the review.
Company management made clear that there is no certainty the review will produce a strategic transaction or alternative outcome. InMode also said it does not intend to provide further comment about the review while it is ongoing unless disclosure is mandated by law or regulation.
No schedule or specific strategic options were disclosed. The company, which develops and manufactures devices that use radio frequency technology for medical procedures, provided no further operational or financial details tied to the review.
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For market participants, the formation of an independent directors committee and the hiring of external advisers are standard governance steps when a company assesses strategic alternatives. InMode's statement reiterates the procedural safeguards - independent oversight and external advice - intended to ensure proposals are evaluated separately from management influence.
That said, the company declined to offer timing or a menu of potential outcomes, leaving investors and counterparties without clarity on the duration or direction of the process. The announcement therefore confirms only the existence of a formal review rather than any imminent change to ownership, operations, or capital structure.