MINNEAPOLIS, Dec. 29 /PRNewswire-FirstCall/ -- Vascular Solutions, Inc. today announced that it has entered into an extension and expansion of its existing credit facility with Silicon Valley Bank. The newly extended credit facility renews the previous $5 million revolving line of credit and adds a $2 million equipment line of credit for 2006. The borrowing base of the revolving line is a percentage of the company’s eligible domestic receivables and inventory. The purpose of the revolving line of credit is for general working capital needs. The purpose of the equipment line of credit is to finance equipment purchases, principally in the scale-up of the company’s thrombin manufacturing operation.
Howard Root, CEO of Vascular Solutions, commented: “As we grow our sales and operations, we continue to view our relationship with Silicon Valley Bank as an integral part of our growth. Even though we did not borrow on our line of credit in 2005, with our investment in the new source of thrombin and new products planned for 2006, we believe that renewing the line of credit and adding the equipment line is beneficial.”
Jay McNeil, senior relationship manager, Silicon Valley Bank in Minnesota commented: “Vascular Solutions requires a financial services partner experienced in the life science sector to help the company optimize its capital as it grows. SVB’s dedication to the success of life science companies in the mid-West, like Vascular Solutions, gives us the understanding and ability to customize financial solutions and make a significant impact on our clients’ growth. We’re pleased to continue working with Vascular as it expands its operations in 2006.”
About Vascular Solutions
Vascular Solutions, Inc. is a medical device company that focuses on developing unique solutions for unmet clinical opportunities within Interventional radiology and Interventional cardiology. New products introduced since the second half of 2003 include the Vari-Lase(R) endovenous laser product line for the treatment of varicose veins, the D-Stat Dry(TM) hemostatic bandage for the rapid control of topical bleeding, the Pronto extraction catheter for the mechanical extraction of soft thrombus and the Langston(TM) dual lumen catheter for the measurement of aortic stenosis. The Company’s other major products include the Duett(TM) sealing device to rapidly seal the puncture site following catheterization procedures and the D-Stat(R) Flowable hemostat for the local management of active bleeding.
About Silicon Valley Bank
Silicon Valley Bank provides diversified financial services to emerging growth and mature companies in the technology, life science, private equity and premium wine industries. Through its focus on specialized markets and extensive knowledge of the people and business issues driving them, Silicon Valley Bank provides a level of service and partnership that measurably impacts its clients’ success. Founded in 1983 and headquartered in Santa Clara, Calif., the company serves clients around the world through 27 domestic offices and three international subsidiaries in the U.K., India and China. More information on the company can be found at http://www.svb.com .
The information in this press release contains forward-looking statements that involve risks and uncertainties. Our actual results could differ materially from those anticipated in these forward-looking statements. Important factors that may cause such differences include those discussed in our Annual Report on Form 10-K for the year ended December 31, 2004 and other recent filings with the Securities and Exchange Commission. The risks and uncertainties include, without limitation, risks associated with the need for adoption of our new products, limited working capital, lack of profitability, exposure to intellectual property claims, dependence on key vendors, exposure to possible product liability claims, the development of new products by others, doing business in international markets, limited manufacturing experience, the availability of third party reimbursement, and actions by the FDA.
For further information on Vascular Solutions, connect to http://www.vascularsolutions.com .
Vascular Solutions, Inc.
CONTACT: Howard Root, CEO, or James Hennen, CFO, both of VascularSolutions, Inc., +1-763-656-4300
