TTOO - T2 Biosystems Shareholders Vote for CRG Debt Conversion into Equity | Benzinga
LEXINGTON, Mass., April 11, 2024 (GLOBE NEWSWIRE) -- T2 Biosystems, Inc. (NASDAQ:TTOO), a leader in the rapid detection of sepsis-causing pathogens and antibiotic resistance genes, today announced results from the special meeting of stockholders on April 11, 2024. T2 Biosystems Stockholders voted for the approval of conversion of $15 million of its term loan with entities affiliated with CRG Servicing LLC ("CRG") into T2 Biosystems equity.
"We appreciate our stockholders demonstrating their continued support for the Company by attending and voting at the special meeting earlier today. Following the debt conversion, we are expecting to strengthen our balance sheet by reducing both our total debt and quarterly interest payments to CRG by 36 percent. In addition, this decision signifies another step towards regaining compliance with the Nasdaq listing requirements that we continue to believe is in the best interest of both the Company and its stockholders," said John Sperzel, Chairman and CEO at T2 Biosystems.
On February 15, 2024, T2 Biosystems entered into a Securities Purchase Agreement with CRG to facilitate the debt conversion. Pursuant to the terms of the Securities Purchase Agreement, within 10 business days of receiving stockholder approval of the transaction, CRG will cancel $15 million of loans outstanding under the CRG Term Loan Agreement in exchange for the issuance of an aggregate of $15 million of shares of common stock at a price per share of the lower of (i) the average closing price of our common stock on Nasdaq for the five consecutive trading days immediately preceding the date of issuance and (ii) the closing price of our common stock ...