Benzinga | Oct 4, 2021 04:06PM EDT

STRATA Skin Names Christopher Lesovitz CFO

STRATA Skin Sciences, Inc. (NASDAQ:SSKN), a medical technology company dedicated to developing, commercializing, and marketing innovative products for the treatment of dermatologic conditions, today announced that Mr. Christopher Lesovitz, STRATA's current Controller, has been named Chief Financial officer. He succeeds Matthew Hill, who has decided to leave effective October 15, 2021 to pursue a new opportunity. Mr. Lesovitz will assume the role of Chief Financial Officer effective October 16.

Since July 11, 2021, Mr. Lesovitz has served as the Company's Controller. Previously, he led the finance department at Encore Dermatology, Inc., a fully integrated dermatology company. Prior to that, Mr. Lesovitz held various finance roles with Iroko Pharmaceuticals, LLC, a pharmaceutical company specializing in pain management, serving as its Assistant Controller and as its Senior Accounting Manager. Mr. Lesovitz received his Bachelor of Science in accounting from Villanova University in 2004. Additionally, Mr. Lesovitz is a Certified Public Accountant (CPA) in the Commonwealth of Pennsylvania.

Bob Moccia, STRATA's CEO, stated, "Chris has already become an integral member of our finance team and I look forward to working closely beside him as he steps into his new role of CFO. Having previously worked with Chris at Encore Dermatology, where he successfully led the financial organization, we were delighted to add him to the STRATA team. His recent experience with the Company through our last earnings cycle, as well as in the dermatology space, will prove to be invaluable as we continue to grow our footprint and drive value to our stakeholders."

Mr. Moccia added, "With Chris' impending promotion, the Company will immediately initiate a search for a new controller."

"On behalf of the STRATA team, I want to thank Matt for his nearly three and a half years at the Company and his many contributions, including the completion of our most recent financing, announced today, as well as his instrumental role in our recent acquisition of the U.S. Dermatology business of Ra Medical Systems. We wish Matt well in his future endeavors," concluded Mr. Moccia.

Financing Agreement

In an 8-K filed today, STRATA announced that it has completed an $8 million financing with MidCap Financial Trust ("MidCap"). Under the terms of the agreement, the Company entered into a credit and security agreement with MidCap. The MidCap Credit Agreement provides for a senior secured term loan facility of $8.0 million, of which the full amount was drawn by the Company on September 30, 2021. Borrowings under the MidCap Credit Agreement bear interest at a rate per annum equal to LIBOR (with a LIBOR floor rate of 0.50%) plus 7.50%.

In connection with entering into the MidCap Credit Agreement, STRATA paid $7.275 million, plus interest due, on its loan with Israel Discount Bank of New York ("IDBNY") and in satisfaction of the Assignment and Pledge of Time Deposit with IDBNY. The Company also paid $500,000, plus interest, satisfying its obligations under its loan from the United States Small Business Administration pursuant to its Economic Injury Disaster Loan assistance program.