Six things to know:
1. Under the agreement, Medtronic will pay Titan Medical up to $31 million in a series of payments to license select technologies. Representatives from both companies will serve on a steering committee to oversee the progress to outlined milestones.
2. One milestone that Titan must achieve is raising an additional $18 million of capital over four months after the start date of the agreement, which will likely be in June 2020.
3. Titan received a $1.5 million senior secured loan from Medtronic on April 29 that will be increased by an amount equal to certain legal, transaction and intellectual property related expenses. The loan is repayable on June 4, 2023, or when the last milestone is completed.
4. Medtronic will have a non-voting observer on Titan’s board of directors through the duration of the loan.
5. In a separate agreement, Medtronic paid $10 million to Titan to license certain robotic assisted surgical technologies. Under this agreement, Titan is still able to develop and commercialize those technologies for its own business.
6. Two members of Titan’s board, Charles Federico and John Schellhorn, retired from the board when the agreement was approved.
More articles on robotic devices:
Wisconsin spine group performs its 1st robotic spine surgery with Medtronic system
Arkansas hospital 1st in state to use spine robot — 3 insights
Texas ASC puts TKR robot back into use — 3 quick details
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