Xtant Medical Completes Debt Restructuring Transaction

Xtant Medical Holdings, Inc. (XTNT) reported on October 2, 2020, that it has finished its debt restructuring transaction which was announced earlier. The main objective of the restructuring was to improve Xtant’s capital structure by reducing its outstanding loan, which the Company anticipates will facilitate future access to capital markets to invest in its growth initiatives and regain compliance with the continuous trading standards of NYSE American.

“We are pleased to have completed this debt restructuring transaction, which significantly reduced Xtant’s total indebtedness to less than $16 million under our credit facility, lowered our cost of debt to more serviceable levels, and will allow us to focus on further improving the Company’s operating model and growth profile,” said Sean Browne, President and CEO of Xtant Medical.

As of this transaction, Around 57.8 million shares issued by Xtant Medical of its common stock to lenders under its credit facility in return for around $40.8 million of the all outstanding principal amount of outstanding loans under the credit facility, just as, without duplication, around $21.1 million of the outstanding amount of PIK interest, in addition to all other gathered and unpaid interest on the loans exchange rates forthcoming at the end date, at a exchange cost of $ 1.07 per share.

OrbiMed Advisors LLC’s affiliated funds, OrbiMed Royalty Opportunities II, LP and ROS Acquisition Offshore LP own around 94.5% outstanding common stock of Xtant Medical and all other existing stockholders of Xtant own approximately 5.5% of the outstanding common stock after finalization of the loan restructuring transaction.

According to earlier announced Restructuring and Exchange Agreement between Xtant and the lenders, Xtant granted to commence a rights offering after completion of the loan restructuring to permit Xtant stockholders the chance to buy Xtant common stock at the same cost per share as the $1.07 per share exchange price used in the debt restructuring.

Recent Trade

The Healthcare company Xtant Medical Holdings, Inc. (XTNT) closed at $1.57 on Friday, Oct 2, with the rise of 91.39%. The volume was 112.25 million shares. At the time of writing XTNT has market value of $21.90 million. Xtant Medical is a worldwide medical technology company focused on the design, development, and commercialization of a comprehensive portfolio of orthobiologics and spinal implant systems to facilitate spinal fusion in complex spine, deformity and degenerative procedures.

Leave a Comment