Portola Pharmaceuticals Enters into $125 Million Loan Agreement with HealthCare Royalty Partners and Athyrium Capital Manage...
March 01 2019 - 8:03AM
Portola Pharmaceuticals, Inc.® (Nasdaq: PTLA) today announced that
it has entered into a $125 million loan agreement with HealthCare
Royalty Partners (HCR) and investment funds manager Athyrium
Capital Management, LP.
“We are pleased to once again be partnering with
HCR and to welcome Athyrium as a new strategic partner on this
financing agreement, which will support the ongoing
commercialization of Andexxa in the U.S. and general business
purposes, including launch preparations for Ondexxya™ in Europe,”
said Mardi Dier, Portola’s Chief Financial Officer and Chief
Business Officer.
The non-dilutive financing agreement
provides Portola with up to $125 million of
borrowing capacity available in two tranches, each bearing interest
at 9.75 percent per annum. Under the terms of the agreement, an
initial tranche of $62.5 million will be funded shortly
after closing and an additional $62.5 million will be
available at Portola’s option, subject to certain conditions. The
loan can be prepaid at Portola’s discretion, subject to prepayment
fees.
“Today’s announcement is a continuation of our
long-standing relationship with Portola and we are proud to support
the Company’s ongoing efforts to bring innovative new therapies to
patients,” said Clarke B. Futch, Managing Partner at HealthCare
Royalty Partners. “There is a clear, unmet need for an antidote
that can address life-threatening bleeding associated with the use
of Factor Xa inhibitors and we have great confidence in Portola’s
ability to deliver on the promise of this potentially life-saving
new medicine.”
“We are proud to join HCR in partnering
with Portola during such a transformative time in the
Company’s history,” said Laurent D. Hermouet, Partner at Athyrium
Capital Management. “We believe Portola has the potential to
significantly impact the lives of thousands of patients and we are
happy to provide additional financial flexibility for the Company
during this exciting period of commercial launch.”
Further information with respect to the credit facility will be
set forth in the Form 10-K to be filed by Portola with
the Securities and Exchange Commission on March 1,
2019.
Cowen acted as Sole Lead Arranger and Financial Advisor
to Portola on the transaction.
About Portola Pharmaceuticals,
Inc.Portola Pharmaceuticals is a commercial-stage
biopharmaceutical company focused on the discovery, development and
commercialization of novel therapeutics that could significantly
advance the fields of thrombosis and other hematologic diseases.
The Company’s two FDA-approved medicines are Andexxa® [coagulation
factor Xa (recombinant), inactivated-zhzo], the first and only
antidote for patients treated with rivaroxaban or apixaban when
reversal of anticoagulation is needed due to life-threatening or
uncontrolled bleeding, and Bevyxxa® (betrixaban), the first and
only oral, once-daily Factor Xa inhibitor for the prevention of VTE
in adult patients hospitalized for an acute medical illness. The
company also is advancing cerdulatinib, a Syk/JAK inhibitor for the
treatment of hematologic cancers.
About HealthCare Royalty PartnersHealthCare
Royalty Partners (HCR) is a private investment firm that purchases
royalties and uses debt-like structures to invest in commercial or
near-commercial stage life science assets. HCR has $4.4 billion in
cumulative capital commitments with offices in Stamford (CT), San
Francisco, Boston and London. For more information, visit
www.healthcareroyalty.com.
About Athyrium Capital
ManagementAthyrium Capital Management is a specialized
asset management company formed in 2008 to focus on investment
opportunities in the global healthcare sector. Athyrium advises
funds with over $3.7 billion in committed capital. The
Athyrium team has substantial investment experience across a wide
range of asset classes including public equity, private equity,
fixed income, royalties, and other structured securities. Athyrium
invests across all healthcare verticals including biopharma,
medical devices and products, healthcare focused services, and
healthcare information technology. The team partners with
management teams to implement creative financing solutions to
companies’ capital needs. For more information, please
visit www.athyrium.com.
Forward-Looking
StatementsStatements contained in this press release
regarding matters that are not historical facts are
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995. Because such statements
are subject to risks and uncertainties, actual results may differ
materially from those expressed or implied by such forward-looking
statements. Such statements include, but are not limited to,
statements regarding funding timelines for loan, development and
commercialization of Andexxa in the U.S. and Ondexxya in Europe and
the need for a specific Factor Xa inhibitor reversal agent and the
potential benefits for patients. These statements are subject
to significant risks and uncertainties, and actual results could
differ materially from those projected. These risks and
uncertainties include, without limitation, our need to execute
under the terms of the loan, the risk that physicians, patients and
payers may not see the benefits of utilizing Andexxa; the
possibility of unfavorable results from additional clinical trials
involving Andexxa; the risk that the EMA may not approve Andexxa in
the currently anticipated timelines or at all, and that any
marketing approvals or reimbursement limitations may have
significant limitations on its use; the risk that we may not obtain
additional regulatory approvals necessary to expand approved
indications for Andexxa; our expectation that we will incur losses
for the foreseeable future and will need additional funds to
finance our operations; the accuracy of our estimates regarding
expenses and capital requirements; our ability to successfully
build a hospital-based sales force and commercial infrastructure;
our ability to obtain and maintain intellectual property protection
for our product candidates; and our ability to retain key
scientific or management personnel. These and other risks and
uncertainties are described more fully in our most recent filings
with the Securities and Exchange Commission, including our most
recent quarterly report on Form 10-Q and our 2018 annual report on
Form 10-K which we expect to file on March 1, 2019. All
forward-looking statements contained in this press release speak
only as of the date on which they were made. We undertake no
obligation to update such statements to reflect events that occur
or circumstances that exist after the date on which they were
made.
Investor Contact:
Cara Miller
Portola PharmaceuticalsIR@portola.com
Media Contact:Julie NormartPure
Communicationsjnormart@purecommunications.com
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