Non-Dilutive Financing Provides Comprehensive
Solution to Address Debt
Maturities and Provide Flexibility to Further
Optimize Capital Structure
ATLANTA, Jan. 18,
2024 /PRNewswire/ -- Artivion, Inc. (NYSE:
AORT), a leading cardiac and vascular surgery
company focused on aortic disease, today announced the closing of a
comprehensive, non- dilutive definitive credit agreement with Ares
Management Credit funds for $350
million of senior secured, interest-only, credit facilities
with 6-year maturities.
The credit facilities include an initial $190 million term loan, a $60 million revolving credit facility, and an
additional $100 million in unfunded
delayed draw term loan commitments that may be drawn to refinance
the Company's convertible bonds at any time on or prior to the
maturity of the convertible bonds, subject to customary conditions.
The initial $190 million term loan
and $30 million from the revolving
credit facility were drawn at close to retire the Company's
existing senior secured credit facilities and pay related fees and
expenses. The option to draw the additional $100 million of term loans provides the Company
with a financing source to efficiently address the maturity date of
the convertible bonds at any time at or prior to maturity.
"This agreement represents a comprehensive approach to optimize
our capital structure as we prepare to enter a new phase of
profitable growth," said Pat Mackin, Chairman, President, and
Chief Executive Officer of Artivion. "The conviction we have in our
business outlook, which has been strengthened by our recent
financial performance and clinical data readouts, has never been
greater and we look forward to further advancing our strategies to
deliver significant shareholder value."
Further details regarding the new credit
agreement are included
in the Company's Form 8-K filed with
the U.S. Securities and Exchange Commission on January 18, 2024.
About Artivion, Inc.
Headquartered in suburban
Atlanta, Georgia, Artivion, Inc.
is a medical device company focused on developing simple, elegant
solutions that address cardiac and vascular surgeons' most
difficult challenges in treating
patients with aortic diseases. Artivion's four
major groups of products
include: aortic stent grafts, surgical
sealants, On X mechanical heart valves, and
implantable cardiac and vascular human tissues. Artivion
markets and sells products in more than 100 countries worldwide.
For additional information about Artivion, visit our
website, www.artivion.com.
About Ares Management Corporation
Ares
Management Corporation (NYSE: ARES) is a leading global alternative
investment manager offering clients complementary primary and
secondary investment solutions across the credit, private equity,
real estate and infrastructure asset classes. We seek to provide
flexible capital to support businesses and create value for our
stakeholders and within our communities. By collaborating across
our investment groups, we aim to generate consistent and attractive
investment returns throughout market cycles. As of September 30, 2023, Ares Management Corporation's
global platform had approximately $395
billion of assets under management, with approximately 2,800
employees operating across North
America, Europe,
Asia Pacific and the Middle East. For more information, please
visit www.aresmgmt.com.
Forward Looking Statements
Statements made in this press release that look forward in time or
that express management's beliefs, expectations, or hopes are
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Such forward-looking
statements reflect the views of management at the time such
statements are made. These statements include our expectations
regarding the repurchase or repayment of our convertible bonds at
or prior to maturity and our beliefs that our new credit agreement
represents a comprehensive approach to optimize our capital
structure, we are entering a new phase of profitable growth, our
business outlook, particularly in light of our recent financial
performance and clinical data results, has never been greater, and
we can further advance our strategies to deliver significant
shareholder value. These forward-looking statements are subject to
a number of risks, uncertainties, estimates, and assumptions that
may cause actual results to differ materially from current
expectations, including, but not limited to, that the benefits
anticipated from the Ascyrus Medical LLC transaction
and Endospan agreements may not be achieved at all or at the
levels we had originally anticipated. These risks and uncertainties
include the risk factors detailed in our filings with the
Securities and Exchange Commission, including our Annual Report on
Form 10-K for the year ended December 31,
2022 and our Quarterly Report on Form 10-Q for the quarter
ended September 30, 2023. Artivion
does not undertake to update its forward-looking statements,
whether as a result of new information, future events, or
otherwise.
Contacts:
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|
|
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Artivion
Lance A.
Berry
Executive Vice
President &
Chief Financial
Officer
Phone:
770-419-3355
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Gilmartin Group LLC
Brian Johnston / Laine
Morgan
Phone:
332-895-3222
investors@artivion.com
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SOURCE Artivion, Inc.