Daily News: August 4, 2014

BMO Harris, MGC Diagnostics Enter into Facility for MediSoft Buy

MGC Diagnostics announced it completed its acquisition of MediSoft SA, a privately held manufacturer of cardiorespiratory diagnostic products based in Sorinnes, Belgium.

In connection with the MediSoft acquisition, on July 24, 2014, MGC Diagnostics entered into a $7 million credit facility with BMO Harris Bank.

This credit facility includes a five-year, $4 million term loan and a one-year, $3 million revolving credit facility. The $4 million term loan was funded on July 24, 2014. In addition to the term loan proceeds, MGC Diagnostics used $3.8 million of its available cash to fund the total cash consideration of $7.8 million, leaving approximately $7 million of cash available post-transaction.

MGC Diagnostics acquired MediSoft for total cash consideration of $7.8 million. In addition, MGC Diagnostics issued warrants to the MediSoft shareholders to purchase 168,342 shares of MGC Diagnostics common stock at a price of $7.96 per share. The value of the Warrants is approximately $421,000. The warrants have a three-year term expiring on August 1, 2017.

MGC Diagnostics is a global medical technology company dedicated to cardiorespiratory health solutions. The company, through its subsidiaries Medical Graphics Corporation and MediSoft SA, develops, manufactures and markets non-invasive diagnostic systems.

To read the entire press release, click here.