Company: ICUI
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0000883984-25-000016
Chunk: 72

Company: ICU MEDICAL INC/DE
Filing Date: 2025-05-08
Form: 10-Q
Item: Item 1
Chunk 72
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 sale as the transferred receivables have been isolated beyond the reach of the Company and our creditors, even in bankruptcy or other receivership. We do not retain effective control over the sold receivables and BMO has the right upon purchase to pledge and/or exchange the transferred assets without restrictions. The Company acts as collection agent for BMO and collection services are undertaken by our accounts receivable personnel in their normal course of business and collected funds are remitted to BMO. We do not have any continuing involvement with the sold receivables other than the collection services which does not provide us with more than a trivial benefit. The discount rate has been negotiated net of consideration for the collection services, the cost of collection is immaterial to the Company; therefore, we did not separately record any related servicing assets or liabilities related to the sold receivables.The following table presents information in connection with the purchase program (in thousands):Three months ended March 31,2024Trade receivables sold(1)$175,692 Cash received in exchange for trade receivables sold(2)174,600 Loss on sale of receivables(3)1,092 _______________________________(1)    Represents carrying value of trade receivables sold to BMO.(2)    Cash proceeds received from BMO.(3)      Reflected in other expense, net in our condensed consolidated statement of operations.As of March 31, 2025, we are not actively utilizing the program and there are no outstanding balances to be collected on behalf of BMO.

Note 23: Subsequent Events

On April 24, 2025, pursuant to the Agreement described above (see Note 4: Assets Held For Sale), the Company completed the formation of the LLC and transferred the assets, liabilities and operations that comprise the IV Solutions product line to the LLC. At the closing under the Agreement, as consideration for sale of a 60% interest in the LLC to OPF, the Company received preliminary cash consideration of $209.5 million, comprising the estimated sales price. The estimated sales price is subject to final purchase price adjustments. The Company also has the potential to receive a milestone payment from OPF, as calculated under the terms of the Agreement upon the final determination of the LLC's audited financial statements for the year-ending and as of December 31, 2026. On May 1, 2025, the Company used approximately $200.0 million to pay down a portion of its