Baxano Surgical completed a recent subordinated convertible note of financing.
Here are five things to know about the financing:
1. Baxano completed approximately $1.5 million financing to extend its cash runway.
2. The company streamlined its business to reduce operating expenses while maintaining its commercial operations, in connection with the financing.
3. The financing will pave the way for the company to potentially take a new direction. Last week, Baxano announced the company engaged Houlihan Lokey as a financial adviser to seek strategic alternatives to their core minimally invasive spinal fusion business.
4. The company reaffirmed there is "no assurance that Baxano Surgical will enter into any strategic transaction as a result of this process." When the company announced engaging Houlihan Lokey, they also said the move didn't necessarily indicate future transactions.
5. The company also has plans to restructure operations. "We have been able to complete a needed financing that, together with the restructuring of our operations, gives us a cash runway to continue to pursue our strategic alternatives with Houlihan Lokey," said President and CEO of Baxano Ken Reali.