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Acacia Pharma Announcement Early Refund loan Establishment by Hercules Technology Growth Capital
Reduction of Ddebt Sservice Oobligations
Cambridge, UK and Indianapolis, US – 4 May 2021, 07:00 CEST: Acacia Pharma Group plc (“Acacia Pharma”, the “Group” or the “Company”) (EURONEXT: ACPH), a hospital pharmaceutical company focused on the development and commercialization of new products aimed at improving the care of patients undergoing major treatments such as surgery, other invasive procedures or cancer chemotherapy, announces prepayment and full settlement of its credit facility with Hercules Technology Growth Capital, Inc. (“Hercules”) (NYSE: HTGC) and, in accordance with the credit facility agreement already in place with Cosmo Pharmaceuticals NV (“Cosmo”), the proposal to grant a guarantee to Cosmo in return for a reduction in the coupon rate.
Acacia Pharma has prepaid in full payment of all the amounts still due under its credit facility with Hercules, as provided for under the terms of the Hercules credit facility agreement (the “Hercules Agreement”), announced on July 2, 2018. This early repayment, totaling approximately $ 4.3 million, fully satisfies the Company’s obligations under the Hercules Agreement and, therefore, all guarantees provided by Acacia Pharma to Hercules under the Hercules agreement will be released.
Under the terms of the loan facility currently in place with Cosmo, the Company must provide a guarantee to Cosmo on terms substantially similar to those granted under the Hercules Agreement in return for a reduction in the coupon payable on the facility. Cosmo loan of 200 basis points. (9% against 11%). This will lead to a reduction in the amount of interest owed by Acacia Pharma of around € 500,000 per year.
The conditions under which the security will be granted to Cosmo will be finalized as soon as reasonably possible after this announcement.
Gary Gemignani, Chief Financial Officer of Acacia Pharma, commented: “The actions we take will reduce our annual debt service costs and allow us to deploy more of our capital to finance the launch of our products. We will continue to seek ways to further finance the growth of our business on favorable commercial terms as we progress in the successful commercialization of BARHEMSYS® and BYFAVO ™ in the United States. “
|Acacia Pharma Group plc
Mike Bolinder, CEO
Gary Gemignani, Chief Financial Officer
+44 1223 919760 / +1 317 505 1280
Mark Swallow, Frazer Hall, David Dible
Quote Dewe Rogerson
+44 20 7638 9571
|Media in Belgium and the Netherlands
Chris Van Raemdonck
+32 499 58 55 31
About Acacia Pharma
Acacia Pharma is a hospital pharmaceutical company focused on the development and commercialization of new products aimed at improving the management of patients undergoing important treatments such as surgery, other invasive procedures or cancer chemotherapy. The Company has identified significant and commercially interesting unmet needs in those areas that its product portfolio aims to meet.
Acacia Pharma’s first product, BARHEMSYS® (Amisulpride injection) is available in the United States for the management of postoperative nausea and vomiting (PONV).
BYFAVO ™ (remimazolam) for Injection, a very rapid acting / compensating IV benzodiazepine sedative is approved and launched in the United States for use in adult invasive medical procedures lasting 30 minutes or less, such as colonoscopy and bronchoscopy. BYFAVO is licensed from Paion UK Limited for the US market.
APD403 (Intravenous and Oral Amisulpride), a selective dopamine antagonist for chemotherapy-induced nausea and vomiting (CINV) has successfully completed a proof of concept study and a phase 2 dosing study in patients receiving chemotherapy highly emetic.
Acacia Pharma is headquartered in the US in Indianapolis, IN and its R&D operations are centered in Cambridge, UK. The Company is listed on the Euronext Brussels stock exchange under the ISIN code GB00BYWF9Y76 and the stock symbol ACPH.
Acacia Pharma Group plc
Officers’ Mess, Royston Road, Duxford, Cambridge, CB22 4QH, United Kingdom
Company number 9759376