Venus Concept Announces $11.48 Million Debt-to-Equity Exchange Transaction
Rhea-AI Summary
Venus Concept (NASDAQ: VERO) announced that on September 30, 2025 it exchanged the full $11.48 million balance of subordinated convertible notes held by Madryn for 545,335 shares of Series Y preferred stock. Post-transaction, total debt obligations are approximately $30.1 million, a 24% reduction from $39.7 million as of December 31, 2024. Management says the exchange improves financial flexibility to support its transformation plan and return to growth.
Positive
- Debt conversion of $11.48 million completed on Sep 30, 2025
- Total debt reduced to $30.1 million
- Debt decline equals 24% vs $39.7M on Dec 31, 2024
- Issued 545,335 Series Y preferred shares to Madryn
Negative
- Remaining total debt of $30.1 million after exchange
- Issued 545,335 preferred shares — potential shareholder dilution
News Market Reaction
On the day this news was published, VERO declined 4.96%, reflecting a moderate negative market reaction. Argus tracked a peak move of +23.3% during that session. Our momentum scanner triggered 7 alerts that day, indicating moderate trading interest and price volatility. This price movement removed approximately $252K from the company's valuation, bringing the market cap to $5M at that time. Trading volume was exceptionally heavy at 18.4x the daily average, suggesting significant selling pressure.
Data tracked by StockTitan Argus on the day of publication.
Reduction of outstanding debt by Madryn Asset Management continues to improve the Company’s financial position
TORONTO, Oct. 02, 2025 (GLOBE NEWSWIRE) -- Venus Concept Inc. (“Venus Concept” or the “Company”) (NASDAQ: VERO), a global medical aesthetic technology leader, announced today that, on September 30, 2025, the Company exchanged the full
“Madryn’s invaluable partnership has provided us with financial flexibility as we work towards sustained long-term growth, profitability, and the execution of our strategic initiatives,” said Rajiv De Silva, Chief Executive Officer of Venus Concept. “The completion of an additional debt exchange reduces our overall debt balance and further optimizes our capital structure.”
“We support Venus’ efforts to return to growth amidst a challenging market environment,” said Avinash Amin, MD, Managing Partner at Madryn Asset Management, LP. “The debt-to-equity exchange announced today is intended to advance Venus’ journey towards completing its transformation plan.”
Cautionary Statement Regarding Forward-Looking Statements
This communication contains “forward-looking statements” statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statements contained herein that are not of historical facts may be deemed to be forward-looking statements. In some cases, you can identify these statements by words such as such as “anticipates,” “believes,” “plans,” “expects,” “projects,” “future,” “intends,” “may,” “should,” “could,” “estimates,” “predicts,” “potential,” and other similar expressions that are predictions of or indicate future events and future trends. These forward-looking statements are based on current expectations, estimates, and projections about our business and the industry in which we operate, as well as management's beliefs and assumptions, and are not guarantees of future performance or developments and involve known and unknown risks, uncertainties, and other factors that are in some cases beyond our control. As a result, any or all of our forward-looking statements in this communication may turn out to be inaccurate. Factors that could materially affect our business operations and financial performance and condition include, but are not limited to, the Company’s ability to achieve its strategic goals and return to profitability, as well as those risks and uncertainties described under Part I Item 1A—“Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, Part II Item 1A—“Risk Factors” in our most recent Form 10-Q and in other documents we may file with the SEC. Readers are urged to consider these factors carefully in evaluating the forward-looking statements and are cautioned not to place undue reliance on the forward-looking statements. The forward-looking statements are based on information available to us as of the date of this communication. Unless required by law, we do not intend to publicly update or revise any forward-looking statements to reflect new information or future events or otherwise.
About Venus Concept
Venus Concept is an innovative global medical aesthetic technology leader with a broad product portfolio of minimally invasive and non-invasive medical aesthetic and hair restoration technologies and reaches over 60 countries and 9 direct markets. Venus Concept's product portfolio consists of aesthetic device platforms, including Venus Versa, Venus Versa PRO, Venus Legacy, Venus Velocity, Venus Viva, Venus Glow, Venus Bliss, Venus Bliss MAX, Venus Epileve, Venus Viva MD and AI.ME. Venus Concept's hair restoration systems include NeoGraft® and the ARTAS iX® Robotic Hair Restoration system. Venus Concept has been backed by leading healthcare industry growth equity investors including EW Healthcare Partners (formerly Essex Woodlands), HealthQuest Capital, Longitude Capital Management, Aperture Venture Partners, Masters Special Situations, and Madryn Asset Management, L.P.
Investor Relations Contact: ICR Healthcare on behalf of Venus Concept: Mike Piccinino, CFA VenusConceptIR@icrhealthcare.com
FAQ
What did Venus Concept (VERO) announce on October 2, 2025?
How many Series Y preferred shares did Venus Concept issue to Madryn?
What is Venus Concept's total debt after the Madryn exchange?
How much did Venus Concept reduce its debt compared to December 31, 2024?
Does the press release state why Venus Concept did the debt-to-equity exchange?
When was the $11.48 million subordinated note conversion completed?
