T2 Biosystems has restructured its term loan agreement with CRG Servicing.
Key updates of the restructured CRG agreement include:
- Extending the interest-only payment period by one year so that principal payments will commence beginning in March 2022 instead of March 202
- Reducing the minimum revenue targets for 2020 to 2022 to levels that are below the company’s current financial forecast. For any shortfall to achieving the minimum revenue targets, the company has the right to pay double the amount of any shortfall as an acceleration of principal payments (unchanged from existing structure).
“We continue to be excited by the potential of T2 Biosystems’ direct-from-blood diagnostic technology for the prevention of sepsis and antibacterial resistance, along with future applications under development,” said Luke Düster, partner of CRG. “We are pleased to extend our partnership and financial support of the company as they continue to drive increased adoption and utilization of T2Bacteria, and we are encouraged by the company’s progress, including recent developments supporting commercial momentum and pipeline expansion.”
In connection with the restructuring of the term loan agreement, the company issued additional warrants to CRG to purchase a total of 568,291 shares of the company’s common stock.
T2 Biosystems is dedicated to improving patient care and reducing the cost of care by helping clinicians effectively treat patients faster than ever before.