Note 5 - Senior Credit Facility

9 Months Ended

Sep. 30, 2017

Notes to Financial Statements

Debt Disclosure [Text Block]

Note

5

— Senior Credit Facility

On

September 23, 2016,

the Company closed a

$23,000

Senior Credit Facility with an affiliate of MidCap Financial Services, LLC (“MidCap”), as administrative agent (the “Senior Credit Facility”). The Senior Credit Facility was fully funded at closing and bears a variable interest rate of LIBOR (which shall

not

be less than

0.5%

) plus

8%.

The Senior Credit Facility includes an interest-only payment period through fiscal

2017

and scheduled monthly principal and interest payments for the subsequent

40

months. The Company has the option to repay the Senior Credit Facility at any time prior to the scheduled principal repayment date subject to prepayment fees. Final payment of the Senior Credit Facility is subject to a final payment fee equal to

5%

of the principal funded under the Senior Credit Facility.

As of

September 30, 2017,

the Company had borrowings of

$23,000

under the Senior Credit Facility bearing an interest rate of

9.2%.

The carrying amount of the debt approximates its fair value based on prevailing interest rates as of the balance sheet date. Scheduled principal repayments of the Senior Credit Facility are as follows:

Principal Payments
2017	$	—
2018		6,900
2019		6,900
2020		6,900
2021		2,300
Total	$	23,000

The debt agreement contains

two

provisions that if deemed probable would create the recognition of an embedded feature; however, we do

not

believe either provision is probable.