SCHEDULE 13G: Avenue Capital Entities Disclose Significant Stake in Cytosorbents Corp Through Convertible Debt and Warrants

Sentiment:

Beneficial Ownership Disclosure 28 May 2025 10:47 PM

Avenue Venture Opportunities Funds and related entities have disclosed a combined beneficial ownership of 5.7% in Cytosorbents Corp, primarily through convertible loans and warrants.

Capital raiseThe document details existing loans totaling $2.0 million ($600,000 from Fund I and $1.4 million from Fund II) that are convertible into common stock at a price of $0.948 per share. While not a new capital raise, the conversion of these loans represents a form of capital restructuring or equity issuance from previously raised debt.

Summary

Avenue Venture Opportunities Fund, L.P. reported beneficial ownership of 1,126,582 shares, representing 1.7% of Cytosorbents Corp's common stock.
This ownership for Avenue Venture Opportunities Fund, L.P. includes 632,911 shares issuable upon conversion of a $600,000 loan and 493,671 shares from outstanding warrants.
Avenue Venture Opportunities Fund II, L.P. reported beneficial ownership of 2,628,691 shares, representing 4.0% of Cytosorbents Corp's common stock.
This ownership for Avenue Venture Opportunities Fund II, L.P. includes 1,476,793 shares issuable upon conversion of a $1.4 million loan and 1,151,898 shares from outstanding warrants.
Avenue Capital Management II, L.P., as the manager of both funds, holds sole voting and dispositive power over a combined 3,755,273 shares, representing 5.7% of the class.
Marc Lasry, as the ultimate beneficial owner of the managing entities, also reported beneficial ownership of 3,755,273 shares, or 5.7% of the class.
The conversion price for both loans is $0.948 per share.
The percentage of class is based on 62,610,376 fully diluted shares of Cytosorbents Corporation common stock outstanding as of May 13, 2025.

Sentiment

Score: 5

Explanation: The document is a factual disclosure of beneficial ownership and does not contain information that would inherently indicate positive or negative sentiment regarding the company's performance or prospects. It is neutral.

Risks

Potential dilution for existing shareholders upon conversion of the $2.0 million in loans and exercise of warrants held by Avenue Venture Opportunities Funds.

Future Outlook

The document does not provide any forward-looking statements or guidance regarding Cytosorbents Corp's business operations or financial performance.

Industry Context

This Schedule 13G filing is a disclosure of beneficial ownership by investment funds and their managing entities in Cytosorbents Corp. It does not provide broader industry trends or competitive analysis.

Stakeholder Impact

Shareholders: The potential conversion of loans and exercise of warrants by Avenue Venture Opportunities Funds could lead to dilution of existing shareholders' equity.

Key Dates

Date	Description
06/26/2024	Date of event which requires filing of this statement (beneficial ownership threshold reached or changed)
05/13/2025	Date as of which the fully diluted shares outstanding for Cytosorbents Corporation were calculated (62,610,376 shares)
05/28/2025	Date of signing for the Schedule 13G filing

Keywords

Cytosorbents Corp, SEC filing, Schedule 13G, beneficial ownership, Avenue Venture Opportunities Fund, convertible loan, warrants, common stock, investment fund, dilution

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