The loan is repayable on June 4, 2023, or upon the earlier completion of the last milestone under the development and license agreement or a Change of Control of Titan (as defined in the note). Until repayment of the loan, Medtronic may have one non-voting observer attend meetings of Titan’s Board of Directors. The loan will be secured by way of a security agreement entered into by Titan and pursuant to which Titan has granted a security interest in favor of Medtronic in all of Titan’s present and future property including all personal property, inventory, equipment and intellectual property.
From a magazine article dated June 4th,2020
Two questions.
1. The first line states Titan has to pay the $1.5 million dollar loan back with a change of control of Titan. Why include this language?
2.Why is Titan going to Wainwright???? Medtronic controls all of Titan's personal property, inventory, equipment and intellectual property? (Unless Titan pays back the $1.5 million dollar loan. Then Titan can get other investors from Wainwright) Why would Medtronic allow Titan to attend investor conferences and risk having Titan walk away from the entire deal with them? It would be interesting if Titan found a buyer for Titan. Say ISRG. Would be an interesting conversation discussing if ISRG can buy us out with a member of Medtronic present at the meeting.
It also explains why nobody from Medtronic was mentioned as a new board member for Titan. Medtronic can have someone pop over anytime to observe meetings as a non voting observer. When you think about it, voting a member of Medtronic to titan's board would tell everyone they are buying them.
