Viking Medical Systems Inc. (OTC:VKNG) inked a deal for $5 million in financing for the launch of its three-dimensional visualization system through a pre-arranged stock sale to a Boston, Mass.-based investment fund.
The Westborough, Mass.-based company said it took out an equity line with the Dutchess Opportunity Fund II LLP, an investment fund that specializes in providing financing through common stock lines of credit, or CSLOCs.
According to the terms of the deal, Dutchess agreed to purchase $5 million worth of Viking stock over the next 36 months at a discounted price. In exchange, Viking will have the ability to draw down on the line of credit should it require the funding.
Newly appointed Viking CEO Jed Kennedy said the company will use the financing to “fund the launch of our ‘next generation’ 3DHD camera system.”
“With this agreement in place, Viking has strengthened its financial position and is fully prepared to expand its presence in the minimally invasive surgical market,” Kennedy said.