Omeros entered into a $125 million term loan agreement with CRG Servicing as administrative agent.

According to the loan agreement, Omeros may initially borrow $80 million subject to certain conditions, which borrowing must occur within 10 days of the loan agreement. Omeros may borrow up to an additional $45 million in two tranches of $25 million and $20 million, contingent upon either satisfying minimum net revenue amounts from Omeros’ ophthalmology product OMIDRIA or minimum average market capitalization on or before June 30, 2017 and December 31, 2017, respectively.

Omeros intends to use $75.7 million of the initial loan proceeds to repay all of the amounts owed by Omeros under its existing agreement with Oxford Finance and East West Bank dated December 30, 2015.

Omeros intends to use the remainder of the initial loan proceeds of approximately $3 million, plus any additional amounts that may be borrowed in the future, for general corporate purposes and working capital.

The agreement has a six-year term with four years of interest-only payments after which quarterly principal and interest payments will be due through the September 30, 2022 maturity date. Interest accrues at an annual fixed rate of 12.25%, 4% of which may be deferred during the interest-only period.

Omeros will enter into a security agreement with nura and CRG whereby Omeros will grant to CRG, as collateral agent for the lenders, a lien on substantially all of its assets including intellectual property.

Omeros is a Seattle-based biopharmaceutical company focused on discovering, developing and commercializing small-molecule and protein therapeutics for large-market as well as orphan indications targeting inflammation, coagulopathies and disorders of the central nervous system.