Venus Concept secures $2 million loan drawdown and approves executive bonuses

Venus Concept Inc. (NASDAQ:VERO), a medical technology company with a market capitalization of $4.24 million and currently rated ’WEAK’ on InvestingPro’s Financial Health Score, reported Monday that it has secured a $2 million loan drawdown and approved transaction completion bonuses for two executives, according to a statement based on a filing with the Securities and Exchange Commission.

On September 19, the company received a $2 million drawdown under its existing Loan and Security Agreement with lenders Madryn Health Partners, LP and Madryn Health Partners (Cayman Master), LP. This drawdown is part of a bridge financing arrangement that now totals $23,237,906.85 in aggregate principal. The proceeds are intended for general working capital purposes after transaction expenses. Borrowings under this agreement bear interest at an annual rate of 12% and are secured by a priority security interest in all real and personal property collateral of the loan parties. According to InvestingPro data, the company’s total debt stands at $37.06 million, with an EBITDA of -$28.56 million for the last twelve months.

The agreement, originally signed on April 23, 2024, allows the company and its subsidiaries to access funding through multiple draws. Including the latest, Venus Concept has executed thirteen drawdowns since the agreement’s inception, with individual amounts ranging from approximately $1 million to $3 million.

Separately, on September 16, the board of directors approved transaction completion bonuses for Rajiv De Silva and Domenic Della Penna. According to the company, each executive will be eligible for a cash or cash-equivalent bonus upon completion of a strategic transaction resulting in a change of control, subject to conditions including continued employment. The potential bonus for Mr. De Silva ranges from $715,000 to approximately $2.12 million, while Mr. Della Penna’s bonus may range from $338,000 to about $1 million. The bonus amounts are determined based on the size of the strategic transaction.

Venus Concept, headquartered in Toronto, is listed on the Nasdaq Capital Market under the ticker VERO. All information is based on a press release statement and the company’s SEC filing.

In other recent news, Venus Concept Inc. reported its financial results for the second quarter of 2025, showing a 5% year-over-year decline in total revenue to $15.7 million. The company also recorded a net loss of $11.7 million, or $8.03 per share, and an adjusted EBITDA loss of $8.8 million. Despite these financial challenges, Venus Concept is pursuing strategic initiatives, including a planned product launch in early 2026 and opportunities in the weight loss market. In addition, the company secured an additional $2 million in bridge financing under its existing loan and security agreement with Madryn Health Partners, LP and Madryn Health Partners (Cayman Master), LP. This financing bears an interest rate of 12% per annum and is backed by a priority security interest in the company’s collateral. Furthermore, Venus Concept has extended its loan maturity and received waivers for certain minimum liquidity requirements, effective through September 30, 2025. These developments indicate the company’s efforts to navigate its current financial situation while planning for future growth.

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