Winter Harbor LLC

Paradigm Spine

Winter Harbor Engaged to Perform Due Diligence at Request of Lender

 

Paradigm Spine is a provider of non-fusion spinal implant technology solutions for spine specialists worldwide with $50 million in annual revenue.  They focus on the design and development of solutions for the management of spinal stenosis.  The company offers several commercially available devices which provide patients with a range of motion, flexibility and movement support, all requiring minimal invasive treatment.

Our Role

Winter Harbor served as Chief Restructuring Officer after completing an extensive, strategic review of American HomePatient.

  • Analyzed and evaluated previous fiscal year and year-to-date fiscal profit and loss statements.

  • Reviewed and evaluated:

    • Revenue recognition policies and practices;

    • Company’s cash management system and working capital management;

    • Rebate and return policies, processes and accounting treatment;

    • Royalty and consulting agreements with third-party companies and principals, doctors and related parties;

    • Relationship(s) among the Company’s customers, the Company’s equity holders and end users of the Company’s products.

  • Developed a written assessment of findings and presented conclusions to credit lender.

Engagement Outcome

At the request of Paradigm Spine’s credit lender, Winter Harbor performed and completed a comprehensive review of business operations, its financial validity and contract agreements with key vendors. Our due diligence report was presented to the lender, who was reconsidering the maximum borrowing base allowed by Paradigm Spine for the following fiscal year.