Debt

6 Months Ended

Jun. 30, 2023

Debt Disclosure [Abstract]

Debt

9. Debt

2020 Term Loan

On August 31, 2020, the Company entered into the Loan and Security Agreement with Oxford and Silicon Valley Bank. On March 10, 2023, Silicon Valley Bank was closed by the California Department of Financial Protection and Innovation, and the Federal Deposit Insurance Corporation, or the FDIC, was appointed as receiver. On March 13, 2023, the FDIC announced that all of Silicon Valley Bank’s deposits and substantially all of its assets had been transferred to a newly created, full-service, FDIC-operated bridge bank, Silicon Valley Bridge Bank, N.A., or SVBB. SVBB assumed all loans that were previously held by Silicon Valley Bank. On March 27, 2023, First-Citizens Bank & Trust Company assumed all of SVBB’s customer deposits and certain other liabilities and acquired substantially all of SVBB’s loans and certain other assets from the FDIC, including the Loan and Security Agreement.

On March 31, 2023, the Company entered into a Fourth Amendment to Loan and Security Agreement or the Fourth Amendment, with Oxford as Collateral Agent and a Lender and SVB. The Fourth Amendment relieved the Company of the requirement to maintain all Collateral Accounts (as such term is defined in the Loan and Security Agreement) with SVB and instead requires the Company to hold an amount equal to the lesser of (i) 100% of our consolidated cash and (ii) 150% of the then-outstanding Obligations (as such term is defined in the Loan and Security Agreement) in Collateral Accounts with SVB that are subject to a Control Agreement (as such term is defined in the Loan and Security Agreement) in favor of SVB.

As of June 30, 2023 and December 31, 2022, the outstanding principal balance under the 2020 Term Loan was $22.4 million and $25.0 million, respectively.

Total 2020 Term Loan and unamortized debt discount balances as of June 30, 2023 are as follows (in thousands):

Outstanding principal	$	22,414
Venture debt termination fee		2,250
Less: Debt discount		(642	)
Less: Current portion of loan payable		(10,235	)
Loan payable, net of current portion	$	13,787

Future minimum principal payments on the 2020 Term Loan as of June 30, 2023 are as follows (in thousands):

Year ended:
2023 (remainder)	$	5,173
2024		10,345
2025		6,896
Total minimum principal payments	$	22,414