The PIK loan allows Avinger to conserve cash usage by increasing the principal amount of the loan.
REDWOOD CITY, Calif., Dec. 14, 2017 (GLOBE NEWSWIRE) -- Avinger, (NASDAQ:AVGR), a developer and manufacturer of image-guided, catheter-based systems for the treatment of peripheral arterial disease (PAD) and pioneer of the Lumivascular approach to treating vascular disease, announced today it has entered into an agreement with CRG to waive compliance by Avinger with the minimum revenue covenant for 2017 included in the company’s term loan agreement with CRG. Additionally, CRG agreed to accept payment of interest due on December 31, 2017, in the form of a payment-in-kind (PIK) loan. The PIK loan allows Avinger to conserve cash usage by increasing the principal amount of the loan.
“We appreciate CRG’s ongoing support as we focus on achieving important product development and clinical milestones in coming quarters,” said Jeff Soinski, Avinger’s president and CEO. “CRG’s partnership also provides the flexibility for us to continue to focus our sales force on continued engagement with key accounts in front of our anticipated next-generation Pantheris product approvals in 2018.”
Avinger entered into a term loan agreement and a securities purchase agreement with CRG in September, 2015. The total amount owed to CRG as of September 30, 2017, including principal and deferred interest, was $43.1 million.
About Avinger, Inc.
