The City National Bank of Florida provided medical aesthetic technology company Venus Concept with a new $50 million term loan. A portion of the proceeds were used to pay $3.2 million of the company’s existing revolving line of credit with CNB. The loan has a term of five years and bears interest at an annual rate of LIBOR plus 3%. 

Venus Concept also entered into agreements with Madryn, whereby the company repaid $42.5 million of aggregate principal amount owed under its existing credit agreement with Madryn and issued 8% secured subordinated convertible notes to Madryn for an aggregate principal amount of $26.7 million to exchange and retire the remaining debt obligations owed that would have matured in 2022. The convertible notes have a five-year term and the interest rate on the convertible notes decreases to 6% on the third anniversary of the issuance. The notes are convertible at any time into shares of common stock of the company at an initial conversion price of $3.25 per share, subject to adjustment.

“We are pleased to announce these significant enhancements to Venus Concept’s balance sheet and financial condition, reducing our cost of debt from 9% to less than 5% based on current rates,” Domenic Della Penna, CFO of Venus Concept, said. “This new loan agreement allows us to refinance our long-term debt obligations, which provides us with greater flexibility to support the execution of our growth strategy.”