CVRx, Inc. Liquidation Value

CVRx, Inc. (CVRX) presents a deeply negative liquidation posture as of March 31, 2026. Under a liquidation scenario, recoverable assets consist primarily of cash ($72.3M at 100% = $72.3M), accounts receivable net of allowance ($9.1M gross less $0.9M allowance, at 90-95% recovery = ~$7.4-$7.8M), inventory ($12.4M at 60% = ~$7.4M), and PP&E net ($2.2M at 50-70% = ~$1.1-$1.5M). All other assets — prepaid expenses ($2.9M), ROU assets ($0.8M), and other noncurrent assets ($0.03M) — are assigned zero or minimal liquidation value. Total liquidation asset recovery is approximately $88-$89M.

On the liability side, current liabilities total $9.5M (accounts payable $3.0M, accrued liabilities $6.5M including bonuses $2.8M, operating lease current $0.4M, and other accruals). The dominant liability is the term loan: $60.0M gross principal, with $58.5M carrying value (net of $1.5M unamortized issuance costs), but under liquidation the full $60.0M face value is owed. The debt matures in two tranches — $41.25M due in Year 5 and $18.75M after Year 5 per the maturity schedule, but accelerates on wind-up. Noncurrent liabilities total $61.1M, dominated by the long-term debt ($58.5M carrying) and other noncurrent liabilities ($2.1M, likely deferred rent/compensation tail). Total liabilities at face are approximately $70.6M as reported, but the correct liquidation liability stack is $60.0M term loan face + ~$9.5M current + ~$2.6M noncurrent non-debt = ~$72.1M. Liquidation equity recovery: $88-89M assets minus ~$72.1M liabilities = approximately $16-$17M positive, though this is highly sensitive to inventory and AR recovery rates and does not capture wind-down costs, severance, or lease obligations not yet reflected at full contractual value.

The key change from the prior 10-K (December 31, 2025): the January 9, 2026 amendment to the Loan and Security Agreement added $10.0M of additional borrowings, increasing outstanding term loans from $50.0M to $60.0M, and expanded the facility ceiling to $100.0M with maturity extended to 2031. This is the single largest balance sheet change period-over-period and is the primary driver of increased leverage. Cash declined from $75.7M (Dec 31, 2025) to $72.3M (Mar 31, 2026), a $3.4M net decrease, reflecting $12.2M operating cash burn partially offset by the $10.0M debt draw (net of $1.1M financing costs). The company reports $603.8M in accumulated deficit, confirming a long history of equity destruction. Deferred tax assets remain fully valuation-allowanced — no liquidation value from NOLs ($483.7M federal, $9.7M state as of Dec 31, 2025). The filing does not separately XBRL-tag deferred tax asset or valuation allowance line items; these are discussed in the income tax footnote only.