The Carlsbad, Calif.-based company said that funds from the newly expanded facility will be used to support general corporate purposes.
In connection with the expansion, Alphatec said that it is issuing Squadron a warrant to purchase 4.8 million shares of its common stock at a price of $2.17 at the time of the first draw under the credit facility.
“We are pleased to be expanding our partnership with Squadron. This additional financial commitment comes at a critical time for ATEC, and provides us with runway to execute on our growth strategy,” CFO Jeff Black said in a press release.
The company also said that it promoted David Sponsel to the role of sales exec VP, and that board member Jeff Ryden, who had acted as interim head of sales, will continue with the company in a consulting capacity through 2019.
“Dave’s astute executive leadership has already contributed significantly to the transformation of the ATEC distribution channel. He brings a unique combination of experience, having achieved success as both an integral part of a large conglomerate’s distribution network and as the leader of a nationwide sales representation for a start-up operation. I’m looking forward to continuing to work closely with him. We are clearly assembling the most accomplished team to shape a professional, clinically sophisticated sales channel to represent the new ATEC. I would also like to thank Jeff for his support as Interim Head of Sales during a critical transitional time for ATEC. His leadership over the past few months has been invaluable, and I know he will continue to provide vital influence both as a consultant and as a board member,” CEO Pat Miles said in a press release.
In February, Alphatec said that it won FDA 510(k) clearance for its SafeOp neuromonitoring system, now cleared for use in real-time intraoperative nerve location and health assessment.