MiMedx (NSDQ:MDXG) announced today that it filed a shelf registration statement on Form S-3 with the SEC.
Marietta, Ga.-based MiMedx, which develops AmnioFix, a micronized dehydrated human amnion/chorion membrane (dHACM) injection as regenerative medicine, will be allowed to sell up to $350 million in various types of securities over the next three years once the SEC declares the shelf registration effective.
“MiMedx has come a long way in restoring its financial stability, reporting integrity, and overall reputation as a Nasdaq-listed company throughout the past 12 months, and I am pleased that we have met the conditions for S-3 eligibility,” MiMedx CFO Peter M. Carlson said in a news release. “While there are no specific plans to issue securities under the registration statement at this time, this filing is a matter of good corporate governance and will provide the company with flexibility to finance future growth initiatives by accessing the capital markets on a timely and cost-effective basis.”
The financial stability referenced by Carlson goes back to recent struggles following the sentencing of the company’s former CEO Parker Petit and COO William Taylor to one year in prison for their involvement in a scheme to fraudulently inflate the company’s reported revenue in 2015 and 2016.
In May, a federal judge ruled that MiMedx cannot recoup $40.2 million from the two former executives convicted in the scheme to defraud the company and its investors. The company did recently post Street-beating second-quarter financial results, showcasing what Carlson points to as the road to restoring financial stability.
