Acutus Medical Stock Soars On Debt Refinancing, Divestiture Of Left-Heart Access Portfolio

  • Acutus Medical Inc 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 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.
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