Redwood City, Calif.- based Dextera, formerly known as Cardica, said the Dec. 11 deal calls for $2 million to be put into escrow for two years to cover any indemnification claims and “an additional amount” in escrow to repay creditors. Aesculap also agreed to loan Dextera $1.5 million at 9.25% interest to cover its operating costs during the bankruptcy and sale process, according to a regulatory filing.
Dextera said that “other parties will be entitled to bid for Dextera Surgical’s assets, and Dextera Surgical will conduct an auction for its assets if one or more qualified bids are timely received, all under the provisions of the Bankruptcy Code and orders of the court,” according to the filing.
The company plans to run the business as a debtor-in-possession during the bankruptcy process, Dextera said.
At DeviceTalks Boston, Tyler Shultz will give attendees an inside look at Theranos and how he was able to sound the alarm after he realized the company was falling apart. Shultz will take attendees behind the story that everyone is talking about: the rise and fall of Elizabeth Holmes and her diagnostic company, Theranos.
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