Treace Medical Secures Up to $175 Million in Debt Financing

Core Insights - Treace Medical Concepts has secured a new five-year $175 million senior secured loan arrangement to enhance its financial strength and flexibility [1][2] - The financing includes $60 million in term loans, $65 million in additional term loan availability, and a $50 million revolving credit facility [1][2] - The company aims to use the proceeds to prepay existing loans and strengthen its balance sheet while expanding its market presence [2][3] Financial Details - The new loan arrangement has a maturity date of five years, with an annual interest rate tied to the SOFR, subject to a minimum of 3% [2][4] - The term loan allows for 48 months of interest-only payments, extendable by an additional 12 months [2] - Following the refinancing, the company has approximately $165 million in total liquidity, including cash and unused credit facility availability [3] Company Overview - Treace Medical Concepts focuses on advancing surgical treatments for bunions and related midfoot deformities, addressing a significant market need with an estimated 67 million affected Americans [8] - The company has developed the patented Lapiplasty3D Bunion Correction System, which aims to correct bunion deformities in three dimensions [8] - Treace also offers various surgical systems and digital solutions to support surgeons and patients, enhancing its competitive position in the market [8]