Trinity Capital backs CMR Surgical with $68.75 million investment

Published 02/04/2025, 21:26
Trinity Capital backs CMR Surgical with $68.75 million investment

PHOENIX - Trinity Capital Inc. (NASDAQ: TRIN), a prominent alternative asset manager with a market capitalization of $975 million and impressive revenue growth of nearly 30% over the last twelve months, has committed up to $68.75 million in growth capital to CMR Surgical, a global medical devices company. This investment is part of a recent financing round that raised over $200 million for CMR Surgical. According to InvestingPro data, Trinity Capital stands out with a notable P/E ratio of 7.09 and offers shareholders a substantial 13% dividend yield.

CMR Surgical, based in Cambridge, United Kingdom, is focused on making robotic minimal access surgery widely accessible and affordable through its Versius Surgical Robotic System. The company has recently received FDA approval for the Versius system to be used in Cholecystectomy procedures, signaling a significant step towards its introduction in the U.S. market. For detailed analysis of Trinity Capital’s investment strategy and financial health metrics, explore the comprehensive Pro Research Report available on InvestingPro.

Rob Lake, Senior Managing Director of Life Sciences at Trinity Capital, highlighted CMR Surgical’s innovative approach and its potential for growth in the medical technology sector. The investment from Trinity Capital, whose stock has delivered a total return of 23% over the past year, is expected to help CMR Surgical expand its operations and accelerate the global commercial rollout of Versius, with a particular emphasis on the U.S.

Massimiliano Colella, CEO of CMR Surgical, expressed gratitude for Trinity Capital’s support and confidence in CMR’s strategic vision. He emphasized the importance of this pivotal stage for the company as it seeks to expand its market presence, including a deeper penetration into the U.S. market.

Trinity Capital, headquartered in Phoenix, Arizona, specializes in private credit market investments, providing stable returns to investors by funding growth-oriented companies. CMR Surgical, founded in 2014, aims to redefine the surgical robotics market with its innovative technology and data-driven solutions designed to improve surgical care.

The information for this article is based on a press release statement from Trinity Capital Inc.

In other recent news, Trinity Capital Inc. reported strong financial results for the fourth quarter of 2024, with earnings per share (EPS) of $0.56, surpassing the forecasted $0.526. The company’s revenue reached $71 million, significantly exceeding the projected $64.39 million, marking a substantial positive surprise for investors. Additionally, Keefe, Bruyette & Woods (KBW) raised their price target for Trinity Capital shares to $16.00, up from $15.00, while maintaining a Market Perform rating. This adjustment followed Trinity’s report of robust net investment income, driven by strong investment activity and notable exits, including a significant one from Rocket Lab. The company also declared a quarterly cash dividend of $0.51 per share for the first quarter of 2025, continuing its streak of stable or increased dividends for 21 consecutive quarters. Trinity Capital has updated employment agreements with key executives, including a retention bonus for CEO Kyle Brown, as part of its efforts to align leadership interests with shareholders. The company also granted non-statutory stock options to executives, allowing the purchase of up to 300,000 shares of common stock. Looking ahead, Trinity Capital is expected to experience a one-time negative impact of $0.27 per share due to the cost of extinguishing its convertible bonds in the first quarter of 2025, as noted by KBW analysts.

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