- ViewRay (NASDAQ:VRAY) announced a five-year loan facility deal with MidCap Financial (MFIC) and Silicon Valley Bank, consisting of a $100M term loan and a $25M revolving line of credit.
- The term loan commitment is up to $100M, $25M of which ViewRay (VRAY) may elect to access on achieving a gross margin target for FY23.
- At close, the company drew $75M, $60M of which will be used to retire existing debt with Silicon Valley Bank.
- Annual interest rate is equal to the WSJ Prime rate plus 3.5% with a floor of 9.25%.
- The maturity date is five years, with three years of interest only payments, with the option to extend interest only period for one additional year.
- The revolving line of credit provides up to $25M, comprised of an initial $15M commitment, with the option to increase the line by an additional $10M.
- At close, ViewRay (VRAY) drew $5M to enhance working capital.
- Annual interest rate is equal to WSJ Prime rate plus 0.5% with a floor of 6.25% and the term is five years.