Proactive Investors - Run By Investors For Investors

Admedus enters into agreement with SIO Partners for $1 million debt facility

The company remains in voluntary suspension to facilitate completion of its recapitalisation plan.
Admedus enters into agreement with SIO Partners for $1 million debt facility
Admedus is an Australian medical technology company hoping to gain momentum with its ADAPT products aimed at heart surgeons

Admedus Ltd (ASX:AHZ) has entered into a facility agreement with SIO partners LP (SIO) for a secured debt facility of $1 million.

The proceeds of the SIO facility will provide funds for general working capital and operational costs.

The company will continue with the restructure of its business operations to reduce certain overhead costs and a proposed divestment of the infusion business to capitalise on its growing ADAPT business.

READ: Admedus in trading halt pending update on Admedus Immunotherapies transaction

The key terms of the SIO facility are:

  • 18-month term;

  • 12% interest rate compounding monthly; and

  • One-off $125,000 facility fee, which will be capitalised to the loan balance and repayable at maturity.

If Admedus launches a rights issue while the loan is outstanding, SIO may elect to offset all or part of the outstanding balance against its entitlement and any underwriting commitment.

If shareholder approval is obtained, the outstanding balance may at SIO’s election be converted to ordinary shares in AHZ at the lesser of:

  • 2 cents per share; and

  • 80% of the volume weighted average market price for ordinary shares calculated over 5 trading days before the date on which the shares are to be issued.

View full AHZ profile View Profile

Admedus Ltd Timeline

Related Articles

consumer health segment overview
January 11 2019
The company sells clinically validated anti-ageing products for hair, skin and body.
Medical scanner
February 09 2019
The company’s digital platform and Artificial Intelligence (AI) software manages and helps interpret images from MRI (magnetic resonance imaging) and PRT (positron emission tomography) scanners
September 29 2018
The biotech group revealed it had brought in $9.1mln via an oversubscribed placing

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use