Kreg Therapeutics Secured $50 Million Debt Financing

Portage Point served as exclusive placement agent to Kreg Therapeutics in connection with a $50 million first lien senior secured credit facility

Kreg Therapeutics (the Company or Kreg), a leading manufacturer and renter of specialty medical equipment and portfolio company of Milton Street Capital (Milton Street), closed a new $50 million financing transaction. The first lien senior secured credit facility included a $5 million unfunded Revolver and a $45 million Term Loan. Proceeds were used to refinance the Company’s existing credit facility and provide growth capital to support the Company’s rapid growth and increasing demand for its in-bed verticalization therapy platform (The Catalyst Bed). Crestline Investors (Crestline) provided the financing.

Kreg Therapeutics is a medical technology company that develops, manufactures and provides advanced therapeutic beds and patient mobility solutions for critically ill patients in acute care settings, serving Level I trauma centers and leading health systems nationwide. Kreg focuses on reducing the total cost of care for complex patients by reducing patient length of stay, injuries, medical complications and readmissions. The Company offers two primary patent-protected products that are developed and manufactured in-house and rented to hospital systems: (i) Catalyst®, a verticalization therapy bed, and (ii) E-Z Wider®, an expandable bariatric bed/chair combination. Kreg delivers these products in combination with value-added clinical and field support services including a comprehensive implementation program.

Milton Street is a Houston, Texas-based private equity firm focused on control investments in the North American, lower middle market industrials sector.

The Portage Point team was able to secure attractive financing terms and structure significant flexibility, allowing the Company to address its upcoming maturity while securing capital to fund growth. The outcome highlights the value Portage Point’s Capital Advisory team provides in navigating complex financing situations and delivering exceptional results to clients.

“Having been involved in a lot of transactions, working with the Portage Point team was one of the best experiences I have had with outside partners, and they made the entire process feel remarkably smooth,” said Christian Jorgensen, Chief Executive Officer of Kreg Therapeutics. “This financing positions Kreg with the capital to fund the expansion of our rental fleet while continuing to deliver better outcomes for patients and our hospital system partners.”

“Portage Point was upfront about the market complexities of this refinancing and executed flawlessly,” said Francis Carr, Managing Partner at Milton Street Capital. “Their communication and attention to detail made all the difference in achieving an attractive result.”

Portage Point served as exclusive placement agent to Kreg. DLA Piper LLP served as legal counsel to Kreg. Akin Gump Strauss Hauer & Feld LLP served as legal counsel to Crestline.

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