Stereotaxis Announces Up To $24M Convertible Note Financing; $12M Initial Funding Plus $12M Milestone-Based Availability

Stereotaxis, Inc. (NYSE:STXS), a pioneer and global leader in surgical robotics for minimally invasive endovascular intervention, today announced it has entered into definitive agreements with investors for a convertible note financing of up to $24 million.

“We appreciate the confidence and support from several of our long-term shareholders in this oversubscribed financing,” said David Fischel, Chairman and CEO. “Our strengthened balance sheet positions us to execute our strategy and accelerate adoption of our comprehensive portfolio of innovations.”

The financing includes an initial upfront closing of $12 million, and an additional $12 million draw available at Stereotaxis’ option following certain regulatory milestones. The notes carry a 10% annual interest rate, with interest accrued and due at maturity in three years. The notes may be converted into common stock at a conversion price of $1.21 per share, a 30% premium to the 10-day volume weighted average price of Stereotaxis’ common stock prior to closing of the financing.

With this financing, Stereotaxis has $16 million in proforma cash and cash equivalents, with access to an additional $12 million, for total availability of $28 million. The structure of the financing reflects Stereotaxis’ belief that this financing bridges the Company to profitability.