CareView Communications Announces HealthCor’s Agreement to Significant Concessions on Its Secured Debt
LEWISVILLE, Texas--(BUSINESS WIRE)--Oct 2, 2018--CareView Communications, Inc. (“CareView” or the “Company”) (OTCQB: CRVW), an information technology provider to the healthcare industry, announced that it recently entered into amendments on an aggregate of approximately $56.6 million of Senior Secured Convertible Notes and accompanying transaction documents (collectively, the “Notes”) issued to HealthCor Partners Management, L.P., HealthCor Management, L.P. and HealthCor Hybrid Offshore Master Fund, L.P. (together, “HealthCor”). HealthCor, a leading investment manager in the healthcare and life sciences sectors, has been a long-time investor in CareView and currently owns approximately 38% of the Company’s issued and outstanding shares on an as converted fully diluted basis.
The amendments to the Notes, among other things, include (i) removing the rights of HealthCor to convert certain notes into shares of common stock, (ii) suspending the accrual of interest on certain notes after June 30, 2018, (iii) providing for the potential earlier repayment of certain notes by the Company, and (iv) canceling Warrants previously issued to HealthCor for the purchase of 11,782,859 shares.
With the removal of the stock conversion provision from the Notes and the cancelation of the Warrants, HealthCor’s as converted fully diluted equity position is reduced from its current ownership of approximately 38% (pre-amendment) to approximately 35% which will significantly diminish dilution to the Company’s stockholders. Suspending the accrual of interest of the Notes after June 30, 2018 will save the Company approximately $5.9 million through June 30, 2019, which will provide the Company the opportunity to position itself for profitability and further reduce dilution for the benefit of the Company’s common stockholders.
CareView’s President and Chief Executive Officer, Steven G. Johnson, stated, “We have always benefitted from having HealthCor as our partner and investor who has believed in our story and the application of our technology portfolio to the healthcare market. We appreciate them for helping us achieve our vision and for providing us with the financial flexibility we need to do that.”
About CareView Communications, Inc.
CareView is the leading provider of products and services focused on patient care and monitoring for the healthcare industry. With concentration in the areas of fall prevention and sitter cost reduction for hospitals and nursing homes, CareView offers the next generation of patient care through a unique data and patient monitoring system that connects patients, families and healthcare professionals (the “CareView System ® ”). This proprietary, high-speed data network may be deployed throughout a healthcare facility to provide it with recurring revenue and infrastructure for future applications. Real-time bedside and point-of-care video monitoring improves efficiency, limits liability, and enhances the patient’s quality of stay. Through continued investment in patient care technology, CareView provides hospitals, nursing homes, and assisted living facilities with a safe, high-quality delivery system that brings patients the highest level of satisfaction and comfort.
CareView has also developed and offers the CareView Connect™ Senior Care Quality of Life System, an innovative and integrated health and safety solution for the aging adult population; a system specifically designed for use in the long-term care and independent living markets. The CareView Connect System is a passive system of in-room sensors used to establish baseline norms of each resident’s activities of daily living, which then alerts caregivers based on the resident’s deviation from those norms. The CareView Connect System discreetly connects residents, families and caregivers by allowing information to be viewed from any connected device via the CareView Connect App. The CareView Connect System also functions as a Personal Emergency Response System to automatically notify staff and/or emergency responders.
CareView is dedicated to working with all types of hospitals, nursing homes, assisted living facilities, and adult and independent living centers, both domestically and internationally. Corporate offices are located at 405 State Highway 121 Bypass, Suite B-240, Lewisville, TX 75067. More information about the Company and its products and services is available on the Company’s website at www.care-view.com.
Forward Looking Statements
Statements made in this release that are not statements of historical or current facts are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of CareView Communications, Inc. to be materially different from historical results or from any future results or projections expressed or implied by such forward-looking statements. Accordingly, readers should not place undue reliance on any forward looking statements. In addition to statements that explicitly describe such risks and uncertainties, readers are urged to consider statements in the conditional or future tenses or that includes terms such as “believes, ”belief,” “expects,” “estimates,” “intends,” “anticipates” or “plans” to be uncertain and forward-looking. Forward-looking statements may include comments as to the beliefs and expectations of the company’s management as to future events and trends affecting its business and are necessarily subject to uncertainties, many of which are outside of the company’s control.
An example of such a statement includes:Suspending the accrual of interest of the Notes after June 30, 2018 will save the Company approximately $5.9 million through June 30, 2019, which will provide the Company the opportunity to position itself for profitability and further reduce dilution for the benefit of the Company’s common stockholders.
Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are described in the sections titled “Risk Factors” in the company’s filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, as well as reports on Form 8-K, including, but not limited to the following: including market acceptance of the Company’s services and projects and the Company’s continued access to capital and other risks and uncertainties. The actual results the Company achieves may differ materially from any forward-looking statements due to such risks and uncertainties. These statements are based on our current expectations and speak only as of the date of such statements. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of future events, new information or otherwise. More information is available on CareView’s website at .
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CONTACT: CareView Communications, Inc.
Steven Johnson, 972-943-6050
President and Chief Executive Officer
KEYWORD: UNITED STATES NORTH AMERICA TEXAS
INDUSTRY KEYWORD: TECHNOLOGY DATA MANAGEMENT HARDWARE NETWORKS SOFTWARE AUDIO/VIDEO SECURITY HEALTH MOBILE/WIRELESS GENERAL HEALTH
SOURCE: CareView Communications, Inc.
Copyright Business Wire 2018.
PUB: 10/02/2018 08:00 AM/DISC: 10/02/2018 08:00 AM