Xtant Medical Expands AR Credit Facility with Silicon Valley Bank Expanded credit facility to provide additional liquidity for future growth

Medical Expands AR Credit Facility with Silicon Valley Bank

Expanded credit facility

to provide additional liquidity for future growth

BELGRADE, Mont., Aug. 16, 2016 (GLOBE NEWSWIRE)

-- Xtant Medical Holdings, Inc. (NYSE MKT:XTNT), a leader in the development, manufacturing and marketing of orthopedic products

for domestic and international markets, today announced the expansion of the accounts receivable revolver credit facility with

Silicon Valley Bank to provide an additional $5 million in funds, making the total credit facility available, $11 million. The

credit facility will be utilized for working capital purposes in order to fund future growth.

Dan Goldberger, Chief Executive Officer, commented,

"We are pleased to announce this credit facility expansion, which will provide the flexibility that will allow us to continue

to develop presence by meeting our inventory requirements to supply the growing demand for our products and services."

"It is our pleasure to continue Silicon

Valley Bank's partnership with Xtant Medical," said Tom Hertzberg, Director at Silicon Valley Bank. "Xtant Medical is

driving important advancements to orthopedic care. Silicon Valley Bank is committed to helping innovative life science companies

like Xtant Medical to be

About Xtant Medical Holdings

Xtant Medical Holdings, Inc. (NYSE MKT:XTNT)

develops, manufactures and markets class-leading regenerative medicine products and medical devices for domestic and international

markets. Xtant products serve the specialized needs of orthopedic and neurological surgeons, including orthobiologics for the promotion

of bone healing, implants and instrumentation for the treatment of spinal disease, tissue grafts for the treatment of orthopedic

disorders, and biologics to promote healing following cranial, and foot and ankle surgeries. With core competencies in both biologic

and non-biologic surgical technologies, Xtant can leverage its resources to successfully compete in global neurological and orthopedic

surgery markets. For further information, please visit www.xtantmedical.com.

About Silicon Valley Bank

For more than 30 years, Silicon Valley Bank

(SVB) has helped innovative companies and their investors move bold ideas forward, fast. SVB provides targeted financial services

and expertise through its offices in innovation centers around the world. With commercial, international and private banking services,

SVB helps address the unique needs of innovators. Learn more at svb.com.

2016 SVB Financial Group. All rights

reserved. Silicon Valley Bank is the California bank subsidiary of SVB Financial Group. Silicon Valley Bank is a member of FDIC

and Federal Reserve System. SVB, SVB Financial Group, and Silicon Valley Bank, are trademarks of SVB Financial Group, used under

Important Cautions Regarding Forward-looking

press release contains certain disclosures that may be deemed forward-looking statements within the meaning of the Private Securities

Litigation Reform Act of 1995 that are subject to significant risks and uncertainties. Forward-looking statements include statements

that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as "continue,"

"efforts," "expects," "anticipates," "intends," "plans," "believes,"

"estimates," "projects," "forecasts," "strategy," "will," "goal,"

"target," "prospects," "potential," "optimistic," "confident," "likely,"

"probable" or similar expressions or the negative thereof.

Statements of historical fact also may be

deemed to be forward-looking statements. We caution that these statements by their nature involve risks and uncertainties, and

actual results may differ materially depending on a variety of important factors, including, among others: our ability to integrate

the acquisition of X-spine Systems, Inc. and any other business combinations or acquisitions successfully; our ability to remain

listed on the NYSE MKT; our ability to obtain financing on reasonable terms; our ability to increase revenue; our ability to comply

with the covenants in our credit facility; our ability to maintain sufficient liquidity to fund our operations; the ability of

our sales force to achieve expected results; our ability to remain competitive; government regulations; our ability to innovate

and develop new products; our ability to obtain donor cadavers for our products; our ability to engage and retain qualified technical

personnel and members of our management team; the availability of our facilities; government and third-party coverage and reimbursement

for our products; our ability to obtain regulatory approvals; our ability to successfully integrate recent and future business

combinations or acquisitions; our ability to use our net operating loss carry-forwards to offset future taxable income; our ability

to deduct all or a portion of the interest payments on the notes for U.S. federal income tax purposes; our ability to service our

debt; product liability claims and other litigation to which we may be subjected; product recalls and defects; timing and results

of clinical studies; our ability to obtain and protect our intellectual property and proprietary rights; infringement and ownership

of intellectual property; our ability to remain accredited with the American Association of Tissue Banks; influence by our management;

our ability to pay dividends; our ability to issue preferred stock; and other factors.

Additional risk factors are listed in the

Company's Annual Report on Form 10-K and Quarterly Reports on Form 10-Q under the heading "Risk Factors." You should

carefully consider the trends, risks and uncertainties described in this document, the Form 10-K and other reports filed with or

furnished to the SEC before making any investment decision with respect to our securities. If any of these trends, risks or uncertainties

actually occurs or continues, our business, financial condition or operating results could be materially adversely affected, the

trading prices of our securities could decline, and you could lose all or part of your investment. The Company undertakes no obligation

to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or

to reflect the occurrence of unanticipated events, except as required by law. All forward-looking statements attributable to us

or persons acting on our behalf are expressly qualified in their entirety by this cautionary statement.