Alphatec Holdings Inc

NASDAQ:ATEC  
14.81
0.00 (0.00%)
Debt Financing / Related, Other Pre-Announcement, Mergers / Acquisitions

ATEC Agrees To Acquire EOS Imaging For $79.7 Mln, Retire Debt Of $37.2 Mln

Published: 12/17/2020 06:28 GMT
Alphatec Holdings Inc (ATEC) - Continues to Advance Clinical Prowess With Renewed Agreement to Acquire Eos Imaging .
Agreement to Acquire Eos Imaging, Sa, for Purchase Price of $79.7 Million, Plus the Retirement Debt of $37.2 Million, in an All-cash Transaction.
Transaction is Expected to Immediately Expand Atec's Revenue Base Through Addition of Eos's Revenue Run Rate and Monetization of Information Through Incremental Pull-through and Cross-selling Opportunities.
Atec Has Arranged a Strategic Financing With $178 Million in Financing Commitments, Including a Definitive Securities Purchase Agreement to Raise $138 Million in a Private Placement of Common Stock at a Price of $11.11 per Share.
Under Terms of Offer, Eos' Shareholders Would Receive EUR €2.45 (or Around USD $2.99) per Eos Share, Representing Premium of 41% to Closing Price of Eos Shares on Dec 16, 2020.
Expects Acquisition to Be Accretive to Revenue, Revenue Growth, Adjusted EBITDA and Free Cash Flow in First Full Year of Operations Following Transaction Close.
Under Terms of Amended Credit Agreement, Maturity Date on Entire Term Loan Was Extended to June 2026.
Atec- Holders of Notes Would Receive Either EUR EUR 7.01 per Eos Oceane (including Interest Due Through May 31, 2021).
Transaction Expected to Close in Q2 of 2021.
Cowen is Acting As Financial and Capital Markets Advisor to Atec and Latham & Watkins Llp is Serving As Legal Counsel for Acquisition Transaction and Private Placement.