LAWRENCE, Mass., March 11 /PRNewswire-FirstCall/ -- NxStage Medical, Inc. (Nasdaq: NXTM) a leading manufacturer of innovative dialysis products, today announced that it has secured a two-year $15 million revolving line of credit from Silicon Valley Bank (SVB).  

The revolving line of credit is subject to a borrowing base of trade accounts receivable, inventory and field equipment and is secured by substantially all of the Company's assets.  In connection with this Agreement, the Company amended its term loan and security agreement with Asahi to grant Asahi junior liens on certain of the Company's assets.  Borrowings under the Agreement bear interest at a rate per annum equal to two percentage points (2.00%) above the prime rate (initial prime rate of 4%).  

"This new credit facility provides additional financial flexibility at favorable interest rates to finance working capital needs as the business continues to grow and to seize future opportunities, when they arise," stated Robert Brown, Chief Financial Officer of NxStage Medical. "We remain confident in our ability to achieve break-even adjusted EBITDA in the second quarter of 2010 and positive cash flow thereafter."

About NxStage Medical

NxStage Medical, Inc. (Nasdaq: NXTM) is a medical device company, headquartered in Lawrence, Massachusetts, USA, that develops, manufactures and markets innovative products for the treatment of end-stage renal disease (ESRD) and acute kidney failure. For more information on NxStage and its products, please visit the company's website at http://www.nxstage.com.

Forward-Looking Statements

This release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this release that are not clearly historical in nature are forward-looking, and the words "anticipate," "believe," "expect," "estimate," "plan," and similar expressions are generally intended to identify forward-looking statements.  Examples of these forward-looking statements include statements as to improvements in Adjusted EBITDA, cash flow and anticipated growth opportunities. All forward-looking statements involve risks, uncertainties and contingencies, many of which are beyond NxStage's control, which may cause actual results, performance, or achievements to differ materially from anticipated results, performance or achievements, including market acceptance and demand for NxStage's product, and certain other factors that may affect future operating results and which are detailed in NxStage's filings with the Securities and Exchange Commission, including the Quarterly Report on Form 10-Q for the quarter ended September 30, 2009. In addition, the statements in this press release represent NxStage's expectations and beliefs as of the date of this press release. NxStage anticipates that subsequent events and developments may cause these expectations and beliefs to change. However, while NxStage may elect to update these forward-looking statements at some point in the future, it specifically disclaims any obligation to do so, whether as a result of new information, future events, or otherwise. These forward-looking statements should not be relied upon as representing NxStage's expectations or beliefs as of any date subsequent to the date of this press release.

    
    
    Contact:
    Kristen K. Sheppard, Esq.
    VP, Investor Relations
    ksheppard@nxstage.com

SOURCE NxStage Medical, Inc.

Back to top

RELATED LINKS
http://www.nxstage.com