VRAY - ViewRay announces $125M debt facility

• ViewRay ( NASDAQ: VRAY ) announced a five-year loan facility deal with MidCap Financial ( MFIC ) and Silicon Valley Bank, consisting of a $100M term loan and a $25M revolving line of credit.
• The term loan commitment is up to $100M, $25M of which ViewRay ( VRAY ) may elect to access on achieving a gross margin target for FY23.
• At close, the company drew $75M, $60M of which will be used to retire existing debt with Silicon Valley Bank.
• Annual interest rate is equal to the WSJ Prime rate plus 3.5% with a floor of 9.25%.
• The maturity date is five years, with three years of interest only payments, with the option to extend interest only period for one additional year.
• The revolving line of credit provides up to $25M, comprised of an initial $15M commitment, with the option to increase the line by an additional $10M.
• At close, ViewRay ( VRAY ) drew $5M to enhance working capital.
• Annual interest rate is equal to WSJ Prime rate plus 0.5% with a floor of 6.25% and the term is five years.

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