Xeris Pharmaceuticals, a specialty pharmaceutical company, entered into an amendment to its existing loan and security agreement with Oxford Finance and Silicon Valley Bank. The amendment allows for extensions of interest-only payments for up to 12 months, subject to certain conditions, to January 2023. The extensions allow the company to delay principal payments of up to $17.4 million, which would have been due during the periods between Jan.1, 2022 and Dec. 1, 2022, to periods beginning Jan. 1, 2023. The final maturity date of the debt facility is June 1, 2024.
“Extending the interest-only period for up to one year to January 2023 provides us flexibility from a cash runway perspective while we continue to build on the momentum of Gvoke and leverage our novel technologies,” Paul R. Edick, chairman and CEO of Xeris Pharmaceuticals, said. “Oxford and SVB have been excellent partners of Xeris over the years, supporting our growth as we have transitioned from a development company to a commercial organization.”
“Oxford is pleased to provide Xeris with more flexible repayment terms under the existing credit facility in order to conserve the company’s cash as it continues to advance its development pipeline and grow sales of Gvoke for the treatment of hypoglycemia,” Christopher Herr, senior managing director at Oxford Finance, said.
Under the new terms of the debt facility, of which $43.5 million has been drawn, Xeris is eligible for a six-month interest-only extension to July 2022, an additional three-month interest-only extension to October 2022 and another three-month interest-only extension to January 2023, each upon achievement of certain trailing six-month revenue targets.
