The following excerpt is from the company's SEC filing.
– April 27, 2022 – Acutus Medical, Inc. (“Acutus” or the “Company”) (Nasdaq: AFIB),
an arrhythmia management company focused on improving the way cardiac arrhythmias are diagnosed and treated, today announced a commitment
letter from Deerfield Management Company (“Deerfield”), to refinance its existing debt with a new longer-term credit facility,
and in conjunction with the refinancing, a definitive agreement to sell the Company’s left-heart access portfolio to Medtronic.
The combination of these two transactions, taken together with the company’s recently completed restructuring, will result in a
of the business to fund the Company’s strategic growth priorities.
set of initiatives is an important milestone for Acutus and is the result of the strategic reprioritization we announced earlier this
year,” said Vince Burgess, President & CEO of Acutus Medical. “The extended maturity from our refinancing
proceeds from the definitive agreement to sell our left-heart access
portfolio will allow us to intensify our focus on driving the adoption of our electrophysiology mapping and therapy solutions as well
as improving our operational and financial performance.”
Acutus has signed a commitment letter to refinance its existing debt facility. The existing debt facility, which has a maturity date
of May 20, 2024, will be replaced with a new debt facility in conjunction with the left-heart access portfolio sale. The new debt facility
with Deerfield will include $35 million in aggregate principal with a maturity date five-years from the closing of the loan, as well as
amortization payments becoming due 36, 48 and 60 months following the closing of the loan. We expect to issue warrants to purchase our
common stock to Deerfield in connection with the refinancing.
Left-Heart Access Portfolio Sale
The sale of the Company’s left-heart access portfolio includes the AcQCross™ line of sheath-compatible septal crossing devices,
MINI integrated crossing device and sheath, the AcQGuide
FLEX steerable introducer with integrated
transseptal dilator and needle, and the AcQGuide
VUE steerable sheath.
Under the terms of the agreement, Medtronic will make an upfront cash
payment to Acutus of $50 million upon the initial closing of the transaction, subject to the satisfaction of customary closing conditions,
including expiration or early termination of all applicable waiting periods (and any extensions thereof) under applicable antitrust laws,
and the closing of the Company’s debt refinancing, as well as contingent consideration payments over time based on the achievement
of certain milestones and future sales.
Perella Weinberg Partners acted as financial advisor to Acutus, and Davis, Polk, & Wardwell served as legal advisors to the Company.
Katten Muchin Rosenman LLP acted as legal advisors to Deerfield.
About Acutus Medical, Inc.
Acutus is an arrhythmia management company focused on improving the way cardiac arrhythmias are diagnosed and treated. Acutus is committed
to advancing the field of electrophysiology with a unique array of products and technologies which will enable more physicians to treat
more patients more efficiently and effectively. Through internal product development, acquisitions and global partnerships, Acutus has
established a global sales presence delivering a broad portfolio of highly differentiated electrophysiology products that provide its
customers with a complete solution for catheter-based treatment of cardiac arrhythmias. Founded in 2011, Acutus is based in Carlsbad,
Caution Regarding Forward-Looking
This press release includes statements that may constitute “forward-looking” statements, usually containing the words “believe,”
“estimate,” “project,” “expect” or similar expressions. Forward-looking statements inherently involve
risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause
or contribute to such differences include, but are not limited to, the Company’s ability to continue to manage expenses and cash
burn rate at sustainable levels, continued acceptance of its products in the marketplace, the effect of global economic conditions on
the ability and willingness of customers to purchase the Company’s systems and the timing of such purchases, competitive
factors, changes resulting from healthcare policy in the United States
and globally, including changes in government reimbursement of procedures, dependence upon third-party vendors and distributors, timing
of regulatory approvals, the impact of the coronavirus (COVID-19) pandemic and Acutus’ response to it, and other risks discussed
in the Company’s periodic and other filings with the Securities and Exchange Commission, as well as satisfaction of conditions in
connection with the closing of the transactions described herein. By making these forward-looking statements, Acutus undertakes no obligation
to update these statements for revisions or changes after the date of this release, except as required by law.
The above information was disclosed in a filing to the SEC. To see the filing, click here.
To receive a free e-mail notification whenever Acutus Medical, Inc. makes a similar move, sign up!
Other recent filings from the company include the following:
Notice of Delisting or Failure to Satisfy a Continued Listing Rule or - June 24, 2022
Acutus Medical, Inc. director just disposed of 60,000 shares - June 3, 2022
Acutus Medical, Inc.'s Chief Financial Officer just picked up 100,000 shares - June 2, 2022