NEW YORK – Cancer testing firm Lucid Diagnostics said Tuesday that it has raised $22 million in a convertible debt refinancing. According to the company, the move extends its cash runway beyond anticipated near-term reimbursement milestones.
As part of the refinancing, Lucid issued five-year convertible notes to long-term equity shareholders in an aggregate principal amount of $22.0 million. A total of $3.6 million of the proceeds were used to retire the firm's existing convertible debt, leaving it with $18.3 million in incremental cash.
Lucid Chairman and CEO Lishan Aklog said in a statement that the successful refinancing reflects the confidence its shareholders have in the firm's technology and commercial potential. The net proceeds bring the company's pro forma cash to approximately $33 million, he added.
The company, a subsidiary of PAVmed, is developing a DNA sequencing test to detect the development of esophageal cancer in patients with gastroesophageal reflux disease.