REDWOOD CITY, Calif., Sept. 22, 2011 /PRNewswire/ -- Cardica, Inc. (Nasdaq: CRDC) today announced that it has achieved the first MicroCutter™ milestone under its distribution agreement and loan commitment with Century Medical, allowing Cardica to draw the first $2 million of an up to $4 million loan commitment from Century.
"We are pleased to have achieved this milestone within two weeks after signing the original agreement, bringing us access to additional capital as we continue to work with a select group of surgeons in Europe to gain initial experience and feedback for our MicroCutter XPRESS™ 30," said Bernard A. Hausen, M.D., Ph.D., president and chief executive officer of Cardica. "We continue to believe Century is the right distribution partner for our MicroCutter product line in Japan, and look forward to a positive ongoing collaboration ahead."
Under the terms of the agreement, which was announced earlier this month, the balance of all amounts drawn by Cardica will be due in September 2016, subject to certain conditions. Cardica expects to achieve the second milestone, which would enable Cardica to access additional amounts under the loan facility with Century, within the next several months.
Cardica designs and manufactures proprietary stapling and anastomotic devices for cardiac and laparoscopic surgical procedures. Cardica's technology portfolio is intended to minimize operating time and enable minimally-invasive and robot-assisted surgeries. Cardica manufactures and markets its automated anastomosis systems, the C-Port® Distal Anastomosis Systems and PAS-Port® Proximal Anastomosis System, for coronary artery bypass graft (CABG) surgery and has shipped over 36,000 units throughout the world. In addition, Cardica is developing the Cardica MicroCutter XPRESS™ 30, a true multi-fire laparoscopic st