ViewRay, makers of the clinical MRI-guided radiation therapy system MRIdian, announced that the company has secured up to $50 million in debt financing from CRG (formerly Capital Royalty LP), a healthcare investment firm.
This debt is reportedly part of ViewRay’s comprehensive financing strategy to optimize its capital structure and to provide the funding for driving its global expansion. ViewRay announced that through the transaction with CRG, it will initially access $30 million of debt, which is interest-only for 3 years, enabling the company to accelerate the worldwide commercialization of its MRIdian system and to retire $13 million of debt with less favorable terms. The company says it has the option to draw a further $20 million at its discretion upon achieving certain milestones.
“We believe that MRI guidance is the future of treating cancer with radiation, and we are pleased to support ViewRay as the technology leader,” said Charles Tate, chairman of CRG. “The demonstrated clinical value of the MRIdian system at leading US cancer centers gives us the confidence to invest in ViewRay’s business model.”
ViewRay is a privately held medical device company developing advanced radiation therapy technology for the treatment of cancer. The company’s MRIdian system provides pretreatment images and continuous soft-tissue imaging during treatment while the beam is on, using MRI-guided radiation therapy, so that clinicians are able to see where the actual radiation dose is being delivered and adapt to changes in the patient’s anatomy.
For more information, visit the ViewRay website.