Interpace Biosciences, along with its subsidiaries, entered into an $8 million term loan with BroadOak Fund V. Interpace Biosciences used the proceeds primarily to repay principal and interest on the $7.5 million short-term promissory notes due to the company’s two private equity stockholders, Ampersand 2018 Limited Partnership and 1315 Capital II. The BroadOak loan was designed to extend Interpace Biosciences’ debt structure and increase operating flexibility. In combination with its recently completed $7.5 million revolving credit facility with Comerica Bank, Interpace Biosciences believes it has significantly improved its liquidity without equity dilution to shareholders.
“We are extremely pleased that BroadOak, an investment and investment banking firm specializing in life sciences, has recognized the company’s value and prospects and has shown confidence in the company’s business growth strategy,” Thomas Burnell, CEO of Interpace Biosciences, said. “We are most grateful to Ampersand and 1315 Capital, our two largest stockholders, for their continued support of the company, demonstrated by their willingness to provide short-term bridge financing.”
“We are very excited to partner with Interpace and recognize the company’s continued turnaround efforts and path towards profitability,” Bill Snider, a partner of BroadOak, said. “We are delighted to extend the short-term financing previously provided to the company by Ampersand and 1315 Capital.”
The BroadOak loan has a maturity of three years. The BroadOak loan is secured by a security interest in substantially all of Interpace Biosciences and its subsidiaries’ assets and is subordinate to the company’s recently established facility with Comerica Bank.
