Item 8.01. Other Events.
Parnell, Inc.
On November 22, 2016, SWK Funding LLC (“SWK Funding”),
a wholly-owned subsidiary of SWK Holdings Corporation (the “Company”), entered into a Credit Agreement pursuant to which
the lenders party thereto provided to Parnell, Inc., a leading global veterinary pharmaceutical business incorporated under the
laws of the state of Delaware (“Borrower”), a term loan in the principal amount of $20,000,000 (the “Loan”). SWK
Funding provided $13,500,000 and other non-SWK affiliated lenders provided the remaining $6,500,000 of the Loan. SWK Funding
serves as the Agent, Sole Lead Arranger and Sole Bookrunner under the Credit Agreement.
The loan was fully funded at closing and has a 48-month term, being
interest-only for the first 24 months with interest payable quarterly in arrears. The Loan matures on November 22, 2020.
Pursuant to the terms of the Credit Agreement, the Borrower
granted the lenders a first priority security interest in substantially all of the Borrower’s assets. The Credit
Agreement contains certain affirmative and negative covenants. The Borrower’s U.S., U.K., Australian and New Zealand
affiliates have guaranteed the Borrower’s obligations under the Credit Agreement.
Entry Into Additional Term Sheets
Separate from the Parnell transaction above, the Company has executed
three term sheets under which, if consummated, the Company would deploy up to $33.7 million over the next approximately 90 days.
There is no guarantee that SWK will close such transactions as they remain subject, in each case, to completion of due diligence
and legal documentation. SWK does not plan to provide any further updates with respect to these potential transactions until each
one is closed. SWK does not anticipate providing forward-looking comments on signed terms sheets going forward.
Safe Harbor Statement
This Current Report on Form 8-K contains forward-looking statements
within the meaning of the Private Securities Litigation Reform Act of 1995. Statements including words such as “believes,”
“expects,” “anticipates,” “intends,” “estimates,” “plan,” “will,”
“would,” “may,” “look forward,” “intend,” “guidance,” “future”
or similar expressions are forward-looking statements. Because these statements reflect the Company’s current views, expectations
and beliefs concerning future events, these forward-looking statements involve risks and uncertainties. Investors should note that
many factors, as more fully described under the caption “Risk Factors” in the Company’s Form 10-K, Form 10-Q
and Form 8-K filings with the Securities and Exchange Commission and as otherwise enumerated herein or therein, could affect the
Company’s future financial results and could cause actual results to differ materially from those expressed in such forward-looking
statements. The forward-looking statements in this Current Report are qualified by these risk factors. These are factors that,
individually or in the aggregate, could cause the Company’s actual results to differ materially from expected and historical
results. You should not place undue reliance on any forward-looking statements, which speak only as of the date they are made.
We assume no obligation to publicly update any forward-looking statements, whether as a result of new information, future developments
or otherwise.