ATEC Terminates Agreement to Acquire EOS Imaging
- Ongoing Impacts of COVID-19 Pandemic Constitute “Material Adverse Effect”
- Company Intends to Explore Other Strategic Collaborations with EOS
- Terminates Debt Commitment of up to
$160 Millionto Finance Acquisition and Retire Existing Debt
This decision follows ATEC’s consideration and analysis of the expected ongoing market effects of the COVID-19 pandemic. Based upon its assessment, ATEC concluded that a “Material Adverse Effect” (as defined in the TOA) has occurred, resulting in circumstances that are no longer conducive to completion of the transaction described in the TOA. ATEC notified EOS of its termination decision, as required by the TOA, in a letter dated
“This has been a difficult, disappointing decision,” said
In connection with the termination of the TOA,
“We continue to believe that there is tremendous strategic value in an ongoing relationship between ATEC and EOS, which could enable growth acceleration for both companies,” said
About EOS imaging
Based in Paris, EOS imaging is a global medical device company that develops and markets advanced imaging and image-based solutions for musculoskeletal pathologies and orthopedic surgical care. EOS imaging strives to contribute to the improvement of patient treatments and outcomes through safe imaging, complete and precise image-based data and surgical planning based on relevant 3D patient anatomies. Additional information can be found at www.EOS-imaging.com.
About Perceptive Advisors
Founded in 1999 and based in New York, NY, Perceptive Advisors is an investment management firm with over $5 billion in assets whose activities are focused on supporting the progress of the life sciences industry by identifying opportunities and directing financial resources to the most promising technologies in healthcare. Additional information can be found at www.perceptivelife.com.
Forward Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainty. Such statements are based on management's current expectations and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The Company cautions investors that there can be no assurance that actual results will not differ materially from those projected or suggested in such forward-looking statements as a result of various factors. Forward-looking statements contained herein include, but are not limited to, references to potential, future strategic and/or financing collaborations and any potential benefits or synergies resulting therefrom. The important factors that could cause actual results to differ significantly from those expressed or implied herein, and a description of those and other factors, risks and uncertainties can be found in the Company's most recent annual report, and any subsequent quarterly and current reports, filed with the Securities and Exchange Commission. ATEC disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, unless required by law.
Chief Financial Officer
Source: Alphatec Holdings, Inc.