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<P style="font-size: 14pt" align="center"><B>UNITED STATES<BR>
SECURITIES AND
EXCHANGE COMMISSION<BR>
<FONT style="font-size: 12pt">Washington, D.C. 20549
</FONT></B>

<P style="font-size: 18pt" align="center"><B>FORM 8-K</B>

<P style="font-size: 12pt" align="center"><B>CURRENT REPORT<BR>
Pursuant to
Section 13 or 15(d) of the Securities Exchange Act of 1934</B>

<P style="font-size: 10pt" align="center"><B>Date of Report (Date of earliest
event reported): February 6, 2009</B>


<P style="font-size: 24pt" align="center"><B>Safeguard Scientifics,
Inc.<BR>
</B><FONT style="font-size: 10pt">(Exact name of registrant as
specified in its charter) </FONT>
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cellpadding="0" width="100%" border="0">

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  <TD width="32%">&nbsp;</TD>
  <TD width="1%">&nbsp;</TD>
  <TD width="33%">&nbsp;</TD>
  <TD width="1%">&nbsp;</TD>
  <TD width="32%">&nbsp;</TD>
 </TR>
 <TR valign="bottom">
  <TD style="border-bottom: #000000 1px solid"><B>Pennsylvania</B></TD>
  <TD>&nbsp;</TD>
  <TD style="border-bottom: #000000 1px solid"><B>1-5620</B></TD>
  <TD>&nbsp;</TD>
  <TD style="border-bottom: #000000 1px solid"><B>23-1609753</B></TD>
 </TR>
 <TR valign="top">
  <TD>(State or other Jurisdiction of Incorporation)</TD>
  <TD>&nbsp;</TD>
  <TD>(Commission File Number)</TD>
  <TD>&nbsp;</TD>
  <TD>(IRS Employer Identification No.)</TD>
 </TR>

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cellpadding="0" width="100%" border="0">

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  <TD width="49%">&nbsp;</TD>
  <TD width="1%">&nbsp;</TD>
  <TD width="49%">&nbsp;</TD>
 </TR>
 <TR valign="bottom">
  <TD style="border-bottom: #000000 1px solid"><B>435 Devon Park Drive,
Building 800, Wayne, PA<BR>
</B></TD>
  <TD>&nbsp;</TD>
  <TD style="border-bottom: #000000 1px solid"><B>19087</B></TD>
 </TR>
 <TR valign="top">
  <TD>(Address of Principal Executive Offices)</TD>
  <TD>&nbsp;</TD>
  <TD>(Zip Code)</TD>
 </TR>

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<P style="font-size: 10pt" align="center">Registrant&#8217;s telephone number,
including area code: <B>610-293-0600</B>
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cellpadding="0" width="30%" border="0">

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  <TD width="100%">&nbsp;</TD>
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  <TD style="border-bottom: #000000 1px solid" nowrap><B>Not
applicable<BR>
</B></TD>
 </TR>
 <TR>
  <TD nowrap>(Former name or former address if changed since last report.)</TD>
 </TR>

</TABLE>


<P style="font-size: 10pt" align="left">Check the appropriate box below if the
Form 8-K filing is intended to simultaneously satisfy the filing obligation of
the registrant under any of the following provisions:

<P style="font-size: 10pt" align="left"><FONT face="Wingdings">o</FONT> Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)<BR>
<BR>
<FONT face="Wingdings">o</FONT> Soliciting material pursuant
to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)<BR>
<BR>
<FONT
face="Wingdings">o</FONT> Pre-commencement communications pursuant to Rule
14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))<BR>
<BR>
<FONT
face="Wingdings">o</FONT> Pre-commencement communications pursuant to Rule
13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))<BR>


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<P style="font-size: 10pt" align="center">&nbsp;

<P style="display: none; font-size: 10pt" align="center">1
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<P style="font-size: 10pt" align="left"><B>ITEM 1.01</B>. <U><B>Entry into a
Material Definitive Agreement.</B></U>

<P style="font-size: 10pt" align="left">Safeguard Scientifics, Inc.
(&#8220;Safeguard&#8221;), Safeguard Delaware, Inc. (&#8220;SDI&#8221;) and
Safeguard Scientifics (Delaware), Inc. (&#8220;SSDI&#8221;) entered into the
Loan and Security Agreement dated as of February&nbsp;6, 2009 (the &#8220;SVB
Loan Agreement&#8221;), by and among Silicon Valley Bank (&#8220;Bank&#8221;),
Safeguard, SDI and SSDI.&nbsp; SDI and SSDI are wholly owned subsidiaries of
Safeguard. The SVB Loan Agreement provides Safeguard with a new revolving
credit facility in the maximum aggregate amount of $50 million that provides
for borrowings, guarantees and issuances of letters of credit (subject to a
$20&nbsp;million sublimit). Actual availability under the credit facility will
be based on the amount of cash held by the Company at the Bank as well as the
value of the Company&#8217;s public and private partner company interests. This
credit facility bears interest at the Bank&#8217;s prime rate for outstanding
borrowings, subject to an increase in certain circumstances. Other than for
limited exceptions, Safeguard is required to maintain all of its
depository and operating
accounts and not less than 75% of its investment and securities accounts at the Bank. The credit
facility matures on December&nbsp;31, 2010.

<P style="font-size: 10pt" align="left">The information set forth above is
qualified in its entirety by reference to the Loan and Security Agreement
attached hereto as Exhibit&nbsp;10.1, which exhibit is incorporated herein by
reference. A copy of the press release issued by Registrant in connection with
the SVB Loan Agreement is attached hereto as Exhibit&nbsp;99.1.

<P style="font-size: 10pt" align="left"><B>ITEM 1.02. </B><U><B>Termination of
a Material Definitive Agreement</B></U>

<P style="font-size: 10pt" align="left">In conjunction with the execution of
the SVB Loan Agreement, SDI and SSDI will terminate the Amended and Restated
Loan and Security Agreement, dated as of June&nbsp;30, 2008, by and among SDI,
SSDI and Comerica Bank. Notwithstanding such termination, SDI and SSDI will
continue to guaranty the obligations of its majority-held subsidiary, Clarient,
Inc., under its continuing credit facility with Comerica Bank and will maintain
a cash account at Comerica Bank in the minimum amount of $12.3&nbsp;million to
support such guaranty. At present such Clarient credit facility matures on
March&nbsp;31, 2009, subject to extension.

<P style="font-size: 10pt" align="left"><B>ITEM 2.03. </B><U><B>Creation of a
Direct Financial Obligation or an Obligation under an Off-Balance Sheet
Arrangement of a Registrant.</B></U>

<P style="font-size: 10pt" align="left">Registrant incorporates herein by
reference the information set forth in item 1.01 above relating to the SVB Loan
Agreement.

<P style="font-size: 10pt" align="left"><B>ITEM 9.01. </B><U><B>Financial
Statements and Exhibits</B></U>

<P style="font-size: 10pt" align="left">(d)&nbsp;<U>Exhibits</U>.

<P>
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valign="top">
  <TD style="background: none transparent scroll repeat 0% 0%"
width="4%">&nbsp;</TD>
  <TD nowrap align="left" width="3%">10.1</TD>
  <TD width="1%">&nbsp;</TD>
  <TD>Loan and Security Agreement dated as of February&nbsp;6, 2009, by and
among Silicon Valley Bank, Safeguard Scientifics, Inc., Safeguard Delaware,
Inc. and Safeguard Scientifics (Delaware), Inc.</TD>
 </TR>

</TABLE>


<P>
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border="0">

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style="font-size: 10pt; background: none transparent scroll repeat 0% 0%; color: #000000"
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  <TD style="background: none transparent scroll repeat 0% 0%"
width="4%">&nbsp;</TD>
  <TD nowrap align="left" width="3%">99.1</TD>
  <TD width="1%">&nbsp;</TD>
  <TD>Press Release dated February&nbsp;10, 2009</TD>
 </TR>

</TABLE>


<P style="font-size: 10pt" align="center">SIGNATURES

<P style="font-size: 10pt" align="left">Pursuant to the requirements of the
Securities Exchange Act of 1934, the Registrant has duly caused this report to
be signed on its behalf by the undersigned hereunto duly authorized.

<P style="font-size: 10pt; margin-left: 46%" align="left">Safeguard
Scientifics, Inc.

<P style="font-size: 10pt" align="left">Dated: February&nbsp;11, 2009

<P style="margin-top: -11pt; font-size: 10pt; margin-left: 46%"
align="left">By: <U>BRIAN J.
SISKO&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>
<BR>
Brian J. Sisko <BR>
Senior Vice President and General Counsel

<P style="font-size: 10pt" align="center">&nbsp;

<P style="display: none; font-size: 10pt" align="center">2
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Filed by Bowne Pure Compliance
UNITED STATES
SECURITIES AND
EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to
Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest
event reported): February 6, 2009
Safeguard Scientifics,
Inc.
(Exact name of registrant as
specified in its charter)
Pennsylvania
1-5620
23-1609753
(State or other Jurisdiction of Incorporation)
(Commission File Number)
(IRS Employer Identification No.)
435 Devon Park Drive,
Building 800, Wayne, PA
19087
(Address of Principal Executive Offices)
(Zip Code)
Registrant's telephone number,
including area code:
610-293-0600
Not
applicable
(Former name or former address if changed since last report.)
Check the appropriate box below if the
Form 8-K filing is intended to simultaneously satisfy the filing obligation of
the registrant under any of the following provisions:
o
Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
o
Soliciting material pursuant
to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o
Pre-commencement communications pursuant to Rule
14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o
Pre-commencement communications pursuant to Rule
13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
ITEM 1.01
.
Entry into a
Material Definitive Agreement.
Safeguard Scientifics, Inc.
("Safeguard"), Safeguard Delaware, Inc. ("SDI") and
Safeguard Scientifics (Delaware), Inc. ("SSDI") entered into the
Loan and Security Agreement dated as of February 6, 2009 (the "SVB
Loan Agreement"), by and among Silicon Valley Bank ("Bank"),
Safeguard, SDI and SSDI.  SDI and SSDI are wholly owned subsidiaries of
Safeguard. The SVB Loan Agreement provides Safeguard with a new revolving
credit facility in the maximum aggregate amount of $50 million that provides
for borrowings, guarantees and issuances of letters of credit (subject to a
$20 million sublimit). Actual availability under the credit facility will
be based on the amount of cash held by the Company at the Bank as well as the
value of the Company's public and private partner company interests. This
credit facility bears interest at the Bank's prime rate for outstanding
borrowings, subject to an increase in certain circumstances. Other than for
limited exceptions, Safeguard is required to maintain all of its
depository and operating
accounts and not less than 75% of its investment and securities accounts at the Bank. The credit
facility matures on December 31, 2010.
The information set forth above is
qualified in its entirety by reference to the Loan and Security Agreement
attached hereto as Exhibit 10.1, which exhibit is incorporated herein by
reference. A copy of the press release issued by Registrant in connection with
the SVB Loan Agreement is attached hereto as Exhibit 99.1.
ITEM 1.02.
Termination of
a Material Definitive Agreement
In conjunction with the execution of
the SVB Loan Agreement, SDI and SSDI will terminate the Amended and Restated
Loan and Security Agreement, dated as of June 30, 2008, by and among SDI,
SSDI and Comerica Bank. Notwithstanding such termination, SDI and SSDI will
continue to guaranty the obligations of its majority-held subsidiary, Clarient,
Inc., under its continuing credit facility with Comerica Bank and will maintain
a cash account at Comerica Bank in the minimum amount of $12.3 million to
support such guaranty. At present such Clarient credit facility matures on
March 31, 2009, subject to extension.
ITEM 2.03.
Creation of a
Direct Financial Obligation or an Obligation under an Off-Balance Sheet
Arrangement of a Registrant.
Registrant incorporates herein by
reference the information set forth in item 1.01 above relating to the SVB Loan
Agreement.
ITEM 9.01.
Financial
Statements and Exhibits
(d)
Exhibits
.
10.1
Loan and Security Agreement dated as of February 6, 2009, by and
among Silicon Valley Bank, Safeguard Scientifics, Inc., Safeguard Delaware,
Inc. and Safeguard Scientifics (Delaware), Inc.
99.1
Press Release dated February 10, 2009
SIGNATURES
Pursuant to the requirements of the
Securities Exchange Act of 1934, the Registrant has duly caused this report to
be signed on its behalf by the undersigned hereunto duly authorized.
Safeguard
Scientifics, Inc.
Dated: February 11, 2009
By:
BRIAN J.
SISKO
Brian J. Sisko
Senior Vice President and General Counsel