- Acutus Medical Inc (NASDAQ:AFIB) shares are skyrocketing on a commitment letter from Deerfield Management Company to refinance its existing debt with a new longer-term credit facility.
- The Company has also agreed to sell its left-heart access portfolio to Medtronic plc (NYSE:MDT).
- The combination of these two transactions, taken together with the Company’s recently completed restructuring, will result in a comprehensive recapitalization of the business to fund the Company’s strategic growth priorities.
- The existing debt facility, which has a maturity date of May 20, 2024, will be replaced with a new debt facility with Deerfield will include $35 million with a maturity date of five years.
- The Company expects to issue warrants to purchase common stock to Deerfield in connection with the refinancing.
- The sale of the left-heart access portfolio includes the AcQCross line of sheath-compatible septal crossing devices, AcQGuide MINI integrated crossing device & sheath, AcQGuide FLEX steerable introducer with integrated transseptal dilator & needle, and AcQGuide VUE steerable sheath.
- Medtronic will make an upfront cash payment to Acutus of $50 million.
- Price Action: AFIB shares are up 58.50% at $1.27 during the premarket session on the last check Wednesday.
