ATEC Refinances Existing Debt with Inaugural Bank Facility

Key Terms

revolving credit facility financial

A revolving credit facility is a type of loan that a business can borrow from whenever it needs money, up to a set limit. It’s like having a credit card for companies—allowing them to borrow, pay back, and borrow again as needed, providing flexibility for managing cash flow or funding short-term expenses.

term loan a financial

Term Loan A is a portion of a company’s syndicated bank loan that is paid down with regular principal installments over a set period, usually carries lower interest and a shorter maturity than other loan tranches. It matters to investors because its scheduled repayments and interest cost affect a company’s cash flow and borrowing needs; heavy near‑term payments can reduce cash available for dividends, investment or increase refinancing risk, much like a mortgage with larger monthly payments limits household flexibility.

syndicated bank facility financial

A syndicated bank facility is a single loan or credit line provided to a borrower by a group of banks that share the amount, interest and risk under one coordinated agreement. It matters to investors because it reveals how a company secures large-scale funding — affecting borrowing cost, repayment rules and financial flexibility — much like several lenders pooling resources to fund a big mortgage so no single bank carries all the risk.

capital structure financial

Capital structure is the way a company finances its operations and growth by using different sources of money, such as borrowed funds (loans or bonds) and owner’s equity (investments from owners or shareholders). It’s like a recipe for baking a cake, where the balance of ingredients affects the final product's strength and taste; similarly, the mix of debt and equity influences a company's stability and risk. For investors, understanding a company's capital structure helps gauge how risky it might be to invest or lend money.

sofr financial

The Secured Overnight Financing Rate (SOFR) is a market benchmark that measures the cost of borrowing cash overnight using U.S. Treasury securities as collateral. Investors watch SOFR because it acts like a speedometer for short-term interest costs—affecting loan rates, bond yields and the pricing of interest-rate contracts—so movements change borrowing expenses, cash returns and the value of interest-sensitive investments.

basis points financial

Basis points are a way to measure small changes in interest rates or percentages, where one basis point equals 0.01%. For example, if a loan's interest rate increases by 50 basis points, it's gone up by 0.50%. They help people understand tiny differences in rates that can add up over time, making financial comparisons clearer.

accordion feature financial

An accordion feature is a clause in a loan or financing agreement that allows a company to expand the size of a credit line or the amount of securities available under the same contract without drafting a completely new deal. Like a suitcase that can be extended to hold more items, it gives a company quick flexibility to raise extra money, which can help fund growth but may increase debt or dilute existing shareholders—so investors watch it for changes in risk and ownership.

form 8-k regulatory

A Form 8-K is a report that companies file with the government to share important news quickly, such as changes in leadership, major business deals, or financial updates. It matters because it helps investors stay informed about significant events that could affect the company's value or stock price.

CARLSBAD, Calif.--(BUSINESS WIRE)-- Alphatec Holdings, Inc. (Nasdaq: ATEC), a spine-focused provider of innovative solutions dedicated to revolutionizing the approach to spine surgery, today announced it has entered into a new credit facility, including a $125 million revolving credit facility and $175 million Term Loan A, led by JPMorgan Chase Bank, N.A. and TD Securities (USA) LLC. This transaction represents ATEC’s inaugural syndicated bank facility and reflects the Company’s strong operating performance and continued progression to a more scaled and profitable financial profile.

The new facility refinances the Company’s existing debt, including its prior term loan and asset-based lending facilities with Braidwell LP, Pharmakon Advisors LP, and MidCap Financial Trust, simplifies its capital structure, reduces borrowing costs, and extends maturities to 2031. At close, the facility carries an interest rate of SOFR plus 275 basis points and is expected to reduce interest expense by more than $6 million annually, with the potential to generate more than $35 million of savings over the life of the facility. The new facility also includes an incremental $150 million accordion feature, providing additional flexibility as the Company grows.

“This transaction marks an important step in the improvement of our capital structure,” said Todd Koning, Chief Financial Officer. “By lowering our cost of capital, extending our maturity profile, and partnering with a leading bank syndicate, we have strengthened our financial foundation. This new facility reflects the maturation of our business and positions us with a more scalable and flexible financing structure as we continue to grow.”

“We appreciate the support of our prior lending partners, Braidwell, Pharmakon, and MidCap, who have been important contributors to ATEC’s growth,” added Koning.

Additional information regarding the credit facility, including a copy of the credit agreement, will be included in a Current Report on Form 8-K to be filed by the Company with the Securities and Exchange Commission.

About Alphatec Holdings, Inc.

ATEC, through its wholly owned subsidiaries, Alphatec Spine, Inc., EOS imaging S.A.S., and SafeOp Surgical, Inc., is a medical device company dedicated to revolutionizing the approach to spine surgery through clinical distinction. ATEC’s Organic Innovation Machine^TM is focused on developing new approaches that integrate seamlessly with the Company’s expanding InformatiX^TM platform to better inform surgery and more safely and reproducibly achieve the goals of spine surgery. ATEC’s vision is to be the Standard Bearer in Spine. For more information, visit us at www.atecspine.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 uncertainties. 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 include, but are not limited to: references to the expected reduction in interest expense and related cost savings over the life of the facility; the anticipated benefits of the new credit facility, including its maturity profile, borrowing costs, and incremental accordion feature; the Company's ability to utilize additional capacity under the facility to support future growth; and the Company's expectations regarding its financial condition, capital structure, and ability to meet its financial obligations. Important factors that could cause actual results to differ significantly from those expressed or implied by such forward-looking statements include, but are not limited to: changes in interest rates or credit market conditions that affect borrowing costs; the Company's ability to satisfy the terms and covenants of the new credit facility; unanticipated expenses, liabilities, or other adverse events affecting cash flow or the Company's ability to achieve profitability; uncertainty of additional funding; and the Company's ability to meet its financial obligations and achieve expected financial outcomes. A further list and description of these 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 U.S. 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.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260505518290/en/

Investor/Media Contact:
Robert Judd
Investor Relations
(760) 494-6790
investorrelations@atecspine.com

Company Contact:
J. Todd Koning
Chief Financial Officer
investorrelations@atecspine.com

Source: Alphatec Holdings, Inc.