Provides enhanced credit facility up to $100 million with favorable terms and extended facility maturity to March 2027
SAN FRANCISCO, March 29, 2022 (GLOBE NEWSWIRE) — iRhythm Technologies, Inc. (NASDAQ:IRTC), a leading digital healthcare solutions company focused on advancing cardiac care, announced that it has changed its existing credit facility with Silicon Valley Bank (the “Amended Credit Facility”). The agreement improves the pricing and terms of iRhythm’s existing credit facility (“Existing Credit Facility”).
The Amended Credit Facility is non-dilutive and consists of a term loan of up to $75 million (the “Term Loan”) and a revolving credit facility of up to $25 million (the revolving credit”). Thirty-five million dollars of the term loan was drawn at closing to fully repay the approximately $18.5 million outstanding on the term loan under the existing credit facility and to fund working capital. The remaining $40 million of the term loan will remain available to iRhythm until December 31, 2023, subject to applicable conditions. The availability of the revolving line of credit is subject to a borrowing base consisting of the Company’s accounts receivable. The amended credit facility will mature on March 1, 2027.
“We are pleased to further strengthen our cash position through non-dilutive financing at a lower cost of capital and an extended maturity compared to our previous loan agreement,” said Quentin Blackford, President and Chief Executive Officer of ‘iRhythm. “This amendment to our existing credit facility provides us with continued financial stability and flexibility to execute on our core strategies of accelerating growth in our core market and expanding our opportunities in adjacent markets.”
“Silicon Valley Bank is thrilled to continue its partnership with iRhythm to support its mission to advance cardiac care with innovative and clinically actionable cardiac monitoring solutions,” said Kristina Peralta, Senior Vice President, Life Sciences and health care at Silicon Valley Bank.
Additional information about the Amended Credit Facility can be found in our current report on Form 8-K filed with the United States Securities and Exchange Commission on March 29, 2022.
About iRhythm Technologies, Inc.
iRhythm is a leading digital healthcare company redefining the way cardiac arrhythmias are clinically diagnosed. The company combines wearable biosensor devices worn for up to 14 days and cloud-based data analytics with powerful proprietary algorithms that distill data from millions of heartbeats into clinically actionable insights. The company believes that improvements in the detection and characterization of arrhythmias have the potential to change the clinical management of patients.
About Silicon Valley Bank
Silicon Valley Bank (SVB) helps innovative companies and investors advance bold ideas, fast. SVB provides targeted financial services and expertise through its offices in innovation centers around the world. With commercial, international and private banking services, SVB helps meet the unique needs of innovators. Learn more at http://svb.com.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. Such statements include statements regarding the availability funds under the term loan and the credit facility. These statements are based on current assumptions that involve risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties, many of which are beyond our control, include the risks described in the section titled “Risk Factors” and elsewhere in our filing with the Securities and Exchange Commission on Form 10-K. These forward-looking statements speak only as of the date hereof and should not be relied upon unduly. iRhythm disclaims any obligation to update these forward-looking statements.