$6 Million Senior Credit Facility to Provide Working Capital for
Developing Medical Device Company
NEW YORK--(BUSINESS WIRE)--
Ares Capital Corporation (NASDAQ: ARCC) announced today that it closed
its first venture finance transaction with Respicardia®, Inc., an early
stage company developing a medical device targeted to improve
respiratory and cardiovascular health by treating central sleep apnea.
Ares Capital served as lead agent in a $6 million senior secured credit
facility to provide working capital for Respicardia’s completion of its
pilot study.
Respicardia is in the clinical trial phase of the development of its remedē®
System, a fully implantable stimulation device that is designed to
restore a more natural breathing pattern during sleep in patients with
central sleep apnea, a widespread sleep disorder characterized by a lack
of respiratory effort by the diaphragm and associated with a higher rate
of ventricular arrhythmias. Respicardia is backed by five experienced
life sciences-focused venture capital firms: Three Arch Partners,
Versant Ventures, Polaris Ventures Partners, Accuitive Medical Ventures
and Affinity Capital Management.
“We are pleased to close our first venture finance transaction with
Respicardia,” said William DeMars, Managing Director of Ares Capital’s
investment adviser.
“Ares Capital provided flexible capital for us to continue the clinical
trial phase in the development of the remedē System,” said Bonnie
Labosky, President and Chief Executive Officer of Respicardia. “The Ares
team was extremely efficient in putting this facility into place and
knowledgeable of our industry.”
About Ares Capital Corporation
Ares Capital is a leading specialty finance company that provides
one-stop financing solutions to U.S. middle market companies and private
equity sponsors. The Company originates and invests in senior secured
loans, mezzanine debt and, to a lesser extent, equity investments
through its national direct origination platform. Ares Capital’s
investment objective is to generate both current income and capital
appreciation through debt and equity investments primarily in private
companies. Ares Capital has elected to be regulated as a business
development company, and is externally managed by a wholly owned
subsidiary of Ares Management LLC. Ares Management is a global
alternative asset manager and a SEC-registered investment adviser with
approximately $54 billion of committed capital under management as of
June 30, 2012. For more information, visit www.arescapitalcorp.com.
About Respicardia, Inc.
Founded in 2006 and headquartered near Minneapolis, Minnesota,
Respicardia is dedicated to improving the lives of heart failure
patients by developing implantable therapies designed to improve
respiratory rhythm management and cardiovascular health. The first
product, the remedē System, is an implantable stimulation device
that is designed to restore a more normal breathing pattern during sleep
for patients with central sleep apnea. Respicardia is committed to
improving cardiovascular health…one breath at a time™. For more
information, visit www.respicardia.com.
About Three Arch Partners
Three Arch considers investment opportunities in medical devices,
diagnostics and healthcare services, and less frequently in
biotechnology. Three Arch also makes selected investments in later stage
healthcare companies that can benefit from their experience and
resources and promise strong financial returns. For more information,
visit www.threearchpartners.com.
About Versant Ventures
Versant Ventures, founded in 1999, is committed to helping entrepreneurs
build successful companies that impact healthcare and improve quality of
life. Versant Ventures invests in game changing medical devices,
biopharmaceuticals, and other life science opportunities. . For more
information, visit www.versantventures.com.
About Polaris Venture Partners
Polaris Ventures Partners’ mission is to identify, invest in and partner
with seed, early stage and middle-market businesses having exceptional
promise, helping them grow into market-leading companies. Polaris
invests in businesses across a number of sectors including technology,
consumer services, and life sciences. For more information, visit www.polarisventures.com
About Accuitive Medical Ventures
Accuitive Medical Ventures specializes in venture financing for
companies with outstanding technology and teams. For more information,
visit www.amvpartners.com.
About Affinity Capital Management
Affinity Capital Management works with innovative and visionary
companies and entrepreneurs to create groundbreaking improvements in
health care products and services. Since its inception in 1993, Affinity
has invested primarily in medical technology companies to generate
healthy outcomes in health care and healthy returns for investors. For
more information, visit www.affinitycapital.net.
Ares Capital Corporation
Carl Drake, (404) 814-5204
[email protected]
or
Respicardia,
Inc.
Bonnie Labosky, (952) 540-4470
[email protected]
Source: Ares Capital Corporation
