Sanara MedTech Inc. announces $55 million debt facility

Sanara MedTech Inc. announced that it has entered into a $55.0 million non-dilutive term loan agreement with CRG Servicing LLC, an affiliate of CRG LP (“CRG”), a healthcare focused investment fund, to support the Company’s growth initiatives in 2024 and 2025.

Sanara received $15.0 million in gross proceeds at closing and can draw up to $40.0 million in additional funds, at its option, in two tranches before June 30, 2025. The Company used approximately $9.8 million of the net proceeds to retire its existing debt. The remaining net proceeds will be used for the Company’s growth initiatives, including permitted acquisitions and investments, as well as for working capital and general corporate purposes. In addition, Sanara is currently in discussions with a commercial bank to establish a $10.0 million revolving line of credit as permitted under the CRG facility.

Zach Fleming, Sanara’s Chief Executive Officer, stated, “We are pleased to partner with CRG, a premier investment firm in the healthcare industry. We believe this non-dilutive capital will allow us to support our growth initiatives and provide access to additional capital for potential acquisition opportunities that the Company may identify as accretive to our business strategy.”

Luke Düster, Partner of CRG stated, “We are excited to be working with Sanara and their management team who have a proven record of success. This transaction demonstrates our confidence in the Company’s ability to continue to execute on its growth plan by serving more patients and providers with their portfolio of products that can help improve outcomes and reduce healthcare expenses.”
MB Bureau