A leading investment firm focused on structured financings of commercialized biopharmaceutical products and medical technologies.
SAN DIEGO, April 9, 2014 – Tandem Diabetes Care®, Inc. (NASDAQ: TNDM) and Capital Royalty Partners II, L.P. and its affiliate funds (“Capital Royalty”) today announced that they have amended and restated the term loan facility under which the Company borrowed $30 million in January 2013. This amendment extends the maturity date under the Company’s term loan facility from December 31, 2017 to March 31, 2020. Under the terms of the restated agreement, the interest rate was reduced from 14.0 percent to 11.5 percent, and the interest only payment period was extended through March 31, 2018. In addition, the Company has entered into a second loan agreement with Capital Royalty and Parallel Investment Opportunities Partners II L.P. that provides the Company with the option to access up to an additional $30 million on or before March 31, 2015 at the same interest rate and on the same key terms.
Several consistent features make Structured Debt a compelling option when compared to traditional sources of capital; these include: (1) access to long-term capital on flexible, customizable terms, (2) a competitive cost of capital with limited equity dilution, and (3) straightforward transaction execution processes. The purpose of this white paper is to introduce Structured Debt, provide an overview of the increasingly important role it plays in capital markets, identify companies and situations for which it is best suited, and discuss its key terms, variations, and advantages from the perspective of a growth-stage company.