Investor CRG buys 348,262 shares at $14.357; debt will mature in 2021
By Devika Patel
Knoxville, Tenn., Sept. 23 – Avinger, Inc. settled a $35 million 12.5% loan and placement of stock with CRG Partners III LP on Sept. 22, according to an 8-K filed Wednesday with the Securities and Exchange Commission. The company raised $30 million through the loan and $5 million through the stock sale. It may raise another $20 million through the loan in two tranches of $10 million each until March 29, 2017.
The loan is due in September 2021 and may be prepaid with a 5% prepayment premium.
CRG also bought 348,262 common shares at $14.357 per share. The price per share is a 2.77% premium to the $13.97 closing share price on Sept. 21 and is also the 10-day average of closing prices of the stock ending on Sept. 21, the company noted in the filing.
Proceeds will be used to retire debt, for post-marketing clinical trials and broad-scale commercialization of the Pantheris image-guided atherectomy device.
The medical device company is based in Redwood City, Calif.
| Issuer: | Avinger, Inc.
|
| Issue: | Loan, common shares
|
| Amount: | $55 million
|
| Warrants: | No
|
| Investor: | CRG Partners III LP
|
| Settlement date: | Sept. 22 (for $35 million), March 29, 2017
|
| Stock symbol: | Nasdaq: AVGR
|
| Stock price: | $13.97 at close Sept. 21
|
| Market capitalization: | $178.58 million
|
|
|
| Loan
|
| Amount: | $50 million
|
| Maturity: | September 2021
|
| Coupon: | 12.5%
|
| Call: | 5% prepayment premium
|
|
|
| Shares
|
| Amount: | $5 million
|
| Shares: | 348,262
|
| Price: | $14.357
|
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