Tissue Regenix gets another $0.42m under US Covid support scheme

Regenerative medical devices company Tissue Regenix Group has received a further $0.42m loan under the United States government-backed Covid-19 business support scheme, it announced on Monday.

The AIM-traded firm said the funds have already been received.

It said the funding was in addition to the receipt of a US government-backed loan of $0.63m, announced on 15 April, which when combined, offered more than $1m of US government support during the coronavirus pandemic.

“Both loans are subject to the same conditions, which include a two-year term and carry a 1% annual interest rate deferred for six months,” the board said in its statement.

“However, under the loan agreements, the principal will not require repayment if the funds are used to support employee payroll, healthcare, utilities and rent payments within the US during the next two months.

“The company intends to use the funds to support these activities and therefore expects the loan not to require repayment.”

Following receipt of the loan, the board said it now expected that the company’s current cash runway would extend at least until after the first week of August.

At 0852 BST, shares in Tissue Regenix Group were up 10.14% at 0.8p.