Swedish biopharmaceutical company Calliditas Therapeutics signed and fully drew on a term loan of €92 million ($102.3 million) with funds managed by Athyrium Capital Management. Proceeds from the loan will primarily be utilized for full repayment of the company’s existing €68 million ($75.61 million) loan with Kreos Capital.
With this refinancing, the company extends the interest-only period on its debt by three years at the same interest rate as the previous term loan. The principal amount of the new loan is €24 million ($26.69 million) greater than that of the prior facility.
“Signing this four-year term loan facility ensures an extension and expansion of our access to significant non-dilutive capital. With the full FDA approval of TARPEYO, the recent issuance of a Notice of Allowance of a second TARPEYO patent and extension of debt repayment by three years, we believe that Calliditas is well positioned to continue to create value through direct commercialization efforts in the United States as well as contributions from our licensees in other jurisdictions, complemented by a late-stage pipeline,” Renée Aguiar-Lucander, CEO of Calliditas, said.
“We are thrilled to help contribute to the continued commercial success of TARPEYO and its recent full FDA approval in the U.S.,” Laurent D. Hermouet, partner at Athyrium Capital Management, said.
The credit agreement provides for quarterly interest-only payments through Q3/26. The loan will partially amortize in four quarterly principal payments of €13.8 million ($15.34 million) commencing Dec. 31, 2026, with the outstanding balance to be repaid on the maturity date of Dec. 31, 2027. The loan is prepayable in part or in full, together with all applicable fees, at any time at the option of Calliditas. The loan bears interest at a fixed rate of 9%. The loan is guaranteed by Calliditas’ subsidiaries, which own or control any Nefecon assets, and is secured by assets of Calliditas and the guarantors, including the equity interests in Calliditas’ non-guarantor subsidiaries. The gross proceeds of the loan are subject to an original issue discount and the expected cash proceeds to the company from the draw down, net of repayment of the existing loan (including all applicable fees to Kreos Capital) and before certain transaction-related costs, is approximately €19 million ($21.12 million). The credit agreement contains financial covenants specifying minimum cash liquidity and minimum product revenue. The credit agreement contains customary affirmative and negative covenants for a senior secured loan.
Bryan, Garnier & Co. acted as sole financial advisor to Calliditas in this transaction.
