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BELGRADE, Mont. - Xtant Medical Holdings, Inc. (NYSE American:XTNT), a $93.35 million market cap medical technology company that has seen its stock surge over 43% in the past six months according to InvestingPro, announced Tuesday it has entered into agreements to sell certain Coflex and CoFix interlaminar stabilization implant assets and all international entities of Paradigm Spine GmbH to Companion Spine, LLC for approximately $19.2 million.
The transaction includes $11 million in cash at closing and $8.2 million in short-term seller financing. Xtant plans to use the proceeds to reduce long-term debt and improve cash liquidity. The deal is expected to close in the third quarter of 2025. The company’s strong liquidity position, with a current ratio of 2.34 according to InvestingPro, indicates its ability to meet short-term obligations.
As part of the transaction, Companion Spine will transition certain members of Xtant’s U.S. and international commercial teams who currently support these products.
"This transaction is a significant step for us as we focus on our core business - the development of higher-margin, best-in-class orthobiologics - while also strengthening our balance sheet and streamlining our operations," said Sean Browne, President and CEO of Xtant Medical, in a press release statement.
Companion Spine, a French-American company specializing in posterior dynamic spine stabilization and motion preservation systems, is a portfolio company of Viscogliosi Brothers, LLC, an investment firm focused on the neuro-musculoskeletal space.
Xtant has already received a non-refundable $2.5 million cash deposit from Companion Spine. Upon closing, Companion Spine would pay an additional $8.5 million, with the remaining $8.2 million in the form of an unsecured promissory note maturing on December 31, 2025.
The transaction remains subject to Companion Spine obtaining financing and other customary closing conditions.
Xtant Medical is a global medical technology company focused on orthobiologics for chronic and surgical wound care and sports medicine markets, as well as spinal implant systems. Despite posting 20.81% revenue growth in the last twelve months, the company faces profitability challenges. Get deeper insights into Xtant’s financial health and growth prospects with InvestingPro’s comprehensive research report, part of its coverage of over 1,400 US stocks.
In other recent news, Xtant Medical Holdings Inc. reported impressive financial results for the first quarter of 2025. The company achieved a revenue of $32.9 million, reflecting an 18% increase from the previous year and surpassing forecasts by over $1.3 million. Xtant Medical also reported a net income of $58,000, a significant improvement from the $4.4 million net loss in Q1 2024. In addition to financial achievements, Xtant Medical launched OsteoFactor Pro™, a new product designed to enhance bone healing, further expanding its product offerings. The company also terminated a restrictive investor rights agreement and welcomed a new major investor, indicating strategic shifts in its investor relations. Analyst firms such as Craig Hallum and BTIG have shown interest in Xtant Medical’s growth strategies, particularly in its biologics and hardware segments. The company has provided revenue guidance for the full year 2025, anticipating growth between 8% to 11%. These developments highlight Xtant Medical’s focus on strategic expansion and product innovation in the medical field.
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