CLEVELAND, June 30, 2015 /PRNewswire/ -- ViewRay™, makers of MRIdian™, the world's first and only clinical MRI-guided radiation therapy system, announced today that the company has secured up to $50 million in debt financing from CRG (formerly Capital Royalty L.P.), a premier healthcare investment firm.
This debt is part of ViewRay's comprehensive financing strategy to optimize its capital structure and to provide the funding for driving its global expansion. Through the transaction with CRG, ViewRay will initially access $30 million of debt, which is interest only for three years, enabling the company to accelerate the worldwide commercialization of the MRIdian system and to retire $13 million of debt with less favorable terms. The company 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 U.S. cancer centers gives us the confidence to invest in ViewRay's business model."
"We are pleased to have the confidence and support of CRG, an investment partner renowned for its strategic investments in healthcare," said Chris A. Raanes, ViewRay president and CEO. "This loan facility provides the funding to support the next stage of commercialization and marks an important step in bringing the benefits of simultaneous MRI guidance and on-table adaptive treatments to radiation oncology professionals and the patients they serve."
ViewRay Incorporated of Cleveland, Ohio, is a privately held medical device company developing advanced radiation therapy technology for the treatment of cancer. The MRIdian system provides continuous soft-tissue imaging during treatment, 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 http://www.viewray.com.
ViewRay and MRIdian are trademarks of ViewRay Incorporated.
ViewRay acknowledges the contribution of the State of Ohio, Department of Development and Third Frontier Commission, which provided funding in support of the MRI Technology Enabling Expansion of MRI into Radiotherapy Guidance Project.
Founded in 2003, CRG (previously known as Capital Royalty L.P.) is a healthcare-focused investment firm with over $2 billion of assets under management that provides capital to healthcare companies primarily through structured debt and senior secured loans. CRG works across the spectrum of life science products and technologies and targets investment sizes ranging between $20 million and $200 million. The firm partners with commercial-stage healthcare companies to provide flexible financing solutions so they can achieve their growth objectives. CRG is headquartered in Houston, Texas with offices in Boulder, Colorado and New York City. For additional information, please visit www.crglp.com.
SOURCE ViewRay Incorporated