Parnell Pharmaceuticals Holdings announced it entered into a non-dilutive $11 million term loan agreement with MidCap Financial. Proceeds will go toward the expansion of its Companion Animal sales team in the U.S. and general company purposes.

The term loan has a 45-month term, being interest only for the first 18 months and Parnell has the ability to extend the interest only period to the first 24 months of the loan upon achieving certain revenue targets as stipulated in the agreement.

Parnell’s CFO Brad McCarthy, said “We are very pleased to have completed this financing transaction with MidCap Financial, which is in line with our previously communicated capital strategy at attractive market rates and allows for the accelerated establishment of our Companion Animal sales team in the U.S., as recently approved by the Board of Directors.”

Parnell is a fully integrated pharmaceutical company focused on developing, manufacturing and commercializing innovative animal health solutions.