VANCOUVER, March 2 /PRNewswire-FirstCall/ - Angiotech Pharmaceuticals, Inc. (NASDAQ: ANPI, TSX: ANP) today announced it has obtained a new Senior Secured Term Loan and Revolving Credit Facility. Wells Fargo Foothill, LLC is the sole arranger, administrative agent and lender for both the Term Loan and Revolving Credit Facility.
The financing includes a delayed draw secured term loan facility of up to $10 million, and a secured revolving credit facility with a borrowing base derived from the value of certain of the Company's finished goods inventory and accounts receivable, providing up to an additional $22.5 million in available credit, subject to certain terms and conditions. Any borrowings outstanding under the term loan and revolving credit facility bear interest ranging from LIBOR + 3.25% to LIBOR +3.75%, with a minimum Base LIBOR Rate of 2.25%. The term loan and the revolving credit facility include certain covenants and restrictions with respect to our operations, require us to maintain certain levels of Adjusted EBITDA and interest coverage ratios, among other terms and conditions, and are secured by the assets of the Company and its Canadian and US subsidiaries. The purpose of the financings is to provide additional liquidity and capital resources for working capital and general corporate purposes.
"We believe this financing will provide enhanced liquidity in the near term and provide us more flexibility and time for Angiotech to explore other longer-term options for our overall capital structure and working capital needs," said Dr. William Hunter, President and CEO of Angiotech. "We would like to thank Wells Fargo Foothill for their confidence in our business plan and providing us with capital in a difficult capital markets environment."
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|SOURCE Angiotech Pharmaceuticals, Inc.|
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