HOUSTON, Sept. 11, 2014 (GLOBE NEWSWIRE) -- Spine Pain Management, Inc. (OTCQB:SPIN), a technology-driven, financial services, medical equipment, and healthcare solution company servicing the multi-billion dollar spine injury sector, today announced the opening of a $2 million revolving line of credit with Wells Fargo bank at attractive terms.
The facility is secured by a personal guarantee of SPIN's recently added director and second largest shareholder, Peter Dalrymple, and bears a fluctuating interest rate of 2% plus the one month LIBOR which gives a current rate of approximately 2.16%. In addition, Mr. Dalrymple, who held a $1 million 12% note, agreed to the early redemption of $500,000 of the note and the reduction of the interest rate to 6% while also extending the term on the remainder by one year to August of 2016. In order to facilitate the above, the company issued to Mr. Dalrymple a total of one million restricted shares of common stock. 300,000 of the shares are currently vested with the remaining 700,000 shares to vest each quarter so long as the revolving line of credit remains in effect.
William F. Donovan, M.D., CEO of Spine Pain Management: "We could not be happier with this total win-win for all shareholders of SPIN. With this new credit facility, SPIN should now have the available capital to accelerate its legacy PI case growth and properly launch its Quad Video HALO™. This was all made possible by the continued confidence in SPIN of Peter Dalrymple, a proven successful business executive who has joined our Board."
About Spine Pain Management, Inc.:
We are a technology driven, financial services, medical equipment and healthcare solution company facilitating diagnostic services for patients who have sustained spine injuries resulting from traumatic accidents. We deliver turnkey solutions to spine surgeons, orthopedic surgeons and other healthcare providers that provide necessary and appropriate treatment of musculo-skeletal spine injuries resulting from automobile and work-related accidents. Our financial services help reduce the burden on healthcare providers that provide patients with early-stage diagnostic testing and non-invasive surgical care, preventing many patients from being unnecessarily delayed or inhibited from obtaining needed treatment. We believe that our financial services and technology brings strong transparency and impartiality to all parties involved in the settlement of patient cases.
Our proprietary medical device called the Quad Video HALO(TM) facilitates the above mentioned transparency and will shortly be available for third party sales.
Additional information about the company, along with a video can be found at its website at www.spinepaininc.com.
Forward-Looking Statements: This press release includes forward-looking statements as determined by the U.S. Securities and Exchange Commission (the "SEC"). All statements, other than statements of historical facts, included in this press release that address activities, events, or developments that the company believes or anticipates will or may occur in the future are forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include general economic and business conditions, the ability to acquire and develop specific projects, the ability to fund operations, healthcare services demands, changes in healthcare practices, government regulation, and other factors over which the company has little or no control. The company does not intend (and is not obligated) to update publicly any forward-looking statements. The contents of this press release should be considered in conjunction with the warnings and cautionary statements contained in the company's recent filings with the SEC.