Debt

6 Months Ended

Jun. 30, 2022

Debt Disclosure [Abstract]

Debt

Note 8 – Debt

The Company’s outstanding debt is shown in the following table:

	Maturity dates		Interest rates			June 30, 2022		December 31, 2021
Term loans secured by all assets		04/2023 - 11/2030		3.25 - 6.00%		$	10,728,901	$	15,613,564
Term loans secured by property and equipment		01/2024 - 10/2029		4.19 - 6.90%			7,049,839		11,190,093
Line of credit secured by all assets		07/2022 - 01/2023		4.50 - 6.50%			2,592,714		72,055
Notes payable convertible into Nutex common shares at $1.55 per share		07/2022		10.00	%		342,963		—
Term loans of consolidated Real Estate Entities		08/2022 - 12/2040		2.84 - 5.75%			6,020,949		62,478,951
Total							26,735,366		89,354,663
Less: unamortized debt issuance costs							101,634		301,691
Less: short-term lines of credit							2,592,714		72,055
Less: current portion of long-term debt							7,735,760		10,158,932
Total debt reflected as long-term						$	16,305,258	$	78,821,985

Term loans and lines of credit. We have entered into private debt arrangements with banking institutions for the purchase of equipment and to provide working capital and liquidity through cash and lines of credit. Unless otherwise delineated above, these debt arrangements are obligations of Nutex and/or its wholly-owned subsidiaries. Consolidated Real Estate Entities have entered into private debt arrangements with banking institutions for purposes of purchasing land, constructing new emergency room facilities and building out leasehold improvements which are leased to our hospital entities. Nutex was a guarantor or, in limited cases, a co-borrower on the debt arrangements of the Real Estate Entities for the periods shown. We have been working with the third-party lenders to remove our guarantees. In the second quarter of 2022, we deconsolidated 17 Real Estate Entities.

Certain outstanding debt arrangements require minimum debt service coverage ratios and other financial covenants. A revolving line of credit was not in compliance with the debt service coverage ratio as of June 30, 2022, and the balance has been included in current liabilities. At June 30, 2022, we had remaining availability of $1.657 million under outstanding lines of credit.

Convertible notes payable. We assumed $5,415,375 principal amount of convertible notes payable of Clinigence outstanding at the merger date. During the three months ended June 30, 2022, various noteholders converted principal balances totaling $4,065,375 into 2,622,819 common shares. Convertible notes payable are presented net of premium totaling $342,963 at June 30, 2022. The debt discount is being accreted over four months. The convertible notes payable were fully converted to common stock before their maturity on July 31, 2022 (see Note 19).