(Alliance News) - TruSpine Technologies PLC on Tuesday said it had entered into a GBP100,000 loan agreement with Non-Executive Director Annabel Schild.

The London Gatwick Airport-based medical device company said the loan will be used for "general working capital purposes".

It is unsecured and bears an interest rate of 6% per year.

Back in January, TruSpine announced a GBP200,000 bridge loan facility.

However, on Tuesday, it said: "The board no longer believe that the bridge loan and staged equity financing will be received by the company."

It added that it is taking legal advice on pursuing the UK investment group for the funds owed under the loan.

In February, the company entered into a separate loan agreement for GBP200,000. It also expects to receive a HMRC Research & Development credit of about GBP200,000 by the end of the second quarter of 2023.

TruSpine explained that it has limited working capital resources and continues to carefully manage its cash position.

Chief Executive Laurence Strauss commented: "As TruSpine undergoes a transitional phase in regard to its board composition and positioning for the future, we are pleased to announce this additional funding support from TruSpine Non-Executive Director Annabel Schild."

Shares in TruSpine closed flat at 0.95 pence each in London on Tuesday.

By Sophie Rose, Alliance News reporter

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