SWKH - Biotricity on the rise after announcing $12M debt financing
Biotricity (BTCY +7.3%) is trading higher after the company announced the completion of a $12M non-convertible debt financing provided by SWK Funding LLC (NASDAQ:SWKH). Per the contractual terms, the health tech company will have an initial interest-only period of two years extendable to three years with a 40% principal balloon payment scheduled at the end of the five-year term of the loan. In addition, Biotricity (NASDAQ:BTCY) has issued the lender ~57.5K warrants convertible into one share of common stock each, with a seven-year term at an exercise price of $6.26. Net proceeds of ~$10.2M are intended for a range of activities, including the repayment of existing less favorable debt obligations, the company said. "Using debt rather than equity financing allows us to avoid shareholder dilution at this time," CEO Waqaas Al-Siddiq remarked. Early this month, in a letter to shareholders, Al-Siddiq laid out the company’s roadmap for next year.
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Biotricity on the rise after announcing $12M debt financing