Leeds-based Tissue Regenix Group secures credit facilities of up to $20m to meet demand for products
Tissue Regenix Group, the regenerative medical devices company, has entered into agreements with MidCap Financial Trust to access a revolving credit facility and a term loan credit facility of up to $20 million.
In a statement, Leeds-based Tissue Regenix said: “The initial net proceeds of the facilities and any further funding drawn down in due course, will be used to invest in additional capital expenditure to sustain future business growth, generate further clinical and health economic real world data to support brand differentiation within dCELL and BioRinse, and for general corporate and working capital purposes.”
Steve Couldwell CEO of Tissue Regenix commented: “I am pleased that we have secured access to these credit facilities, which will enable the company to continue meeting the growing demand for our products. It also allows us to focus on our stated strategy and further invest in the growth of the business as we strive to reach profitability in the near term, whilst limiting dilution for shareholders.”
“These proceeds will be invested in the commercialisation and development of the business, as well as undertaking real world clinical data collection programs which we believe will highlight the differentiated characteristics of our dCELL® and BioRinse products. We will work closely with MidCap Financial to ensure the utilisation of the facilities work in the best interest of current shareholders and the company.”
The company also published its full year results for 2018. Last year, the company increased its pro forma revenues by 47 per cent to £11.6m.
The operating loss before exceptional items narrowed to £8.2m from £9.7m the year before.
Steve Couldwell, CEO, of Tissue Regenix Group, commented: “2018 was an extremely successful year for the group, as we continued to expand the attractiveness of our product portfolio with both clinicians and procurement professionals.
“During the year, we significantly grew our top line sales whilst navigating through the integration of the acquisition of CellRight technologies, which completed in August 2017. We are now beginning to experience both commercial and operational synergies of combining the businesses.
“We have continued to develop our commercial partnerships and have a strong pipeline of both new product launches and product line extensions, which are expected in the near term. We remain committed to optimising operations and have introduced new shift patterns to meet increasing demand. We are optimistic these benefits will continue into the future.
“The additional capital secured through the credit facilities allows us to focus on further scaling the manufacturing capacity of the business and pursue further partnership opportunities, driving the business trajectory towards self-sustainability. With the commercial foundations now firmly set and the financial position of the group stronger, I look forward to another year of exciting business development and continued business growth.”