BridgeBio Pharma Inc (BBIO) has released an update to notify the public and investors about an entry into a material definitive agreement.
BridgeBio Pharma, Inc. and its subsidiaries entered into a Funding Agreement on January 17, 2024, with LSI Financing 1 Designated Activity Company and CPPIB Credit Europe S.à r.l., securing $500 million upon first FDA approval of acoramidis, under certain conditions. The Purchasers will receive 5% of global net sales as Royalty Interest Payments, which may increase to 10%, with rights terminating after receiving $950 million or a capped buy-out payment. The agreement includes a $25 million termination fee upon a change of control before FDA approval and various customary obligations and covenants. Separately, BridgeBio Pharma entered into a Financing Agreement for a $750 million senior secured credit facility with Blue Owl Capital Corporation as administrative agent, featuring an initial term loan of $450 million, incremental loans, interest rates based on base rate or Term SOFR, and a maturity date of January 17, 2029, with various covenants and potential prepayment fees.
For further insights into BBIO stock, check out TipRanks’ Stock Analysis page.