Biopharmaceutical company Sophiris Bio entered into a loan and security agreement with Silicon Valley Bank for up to $10 million in two term loans. On September 12, 2017, the Company borrowed $7 million of this amount.

“We plan to utilize the proceeds from this loan to fund the manufacturing for Phase 3 clinical trial materials and expect that it will allow us to extend our cash runway to the middle of 2019 and provide additional financial flexibility as we advance topsalysin through clinical development,” said Randall E. Woods, president and CEO of Sophiris.

Sophiris may, at its discretion, borrow the remaining $3 million subject to the achievement of certain milestones prior to December 31, 2018. The term loans mature on September 1, 2021.

In connection with the loan, on September 8, 2017, Sophiris issued to Silicon Valley Bank a warrant to purchase an aggregate of up to 99,526 of the Company’s common shares at an exercise price of $2.11 per share. The warrant will expire on September 8, 2024.

Sophiris Bio is a late-stage, clinical biopharmaceutical company developing the pore-forming protein topsalysin (PRX302) for the treatment of patients with urological diseases. Topsalysin is in Phase 2 clinical development for the focal treatment of localized prostate cancer as well as Phase 3 clinical development for the treatment of the lower urinary tract symptoms of benign prostatic hyperplasia.