Intranasal drug developer Optinose announced that it has issued $80 million in senior secured notes as part of a $150 million debt financing agreement with Pharmakon Advisors. The company plans to issue another $30 million in notes by mid-February 2020, “subject to the achievement of minimum Xhance revenues and certain other conditions.” Optinose’s Xhance fluticasone propionate nasal spray was approved by the FDA in September 2017.
According to Optinose, “Initial proceeds from this financing, were used to repay and retire the Company’s existing senior secured notes with Athyrium Opportunities III Acquisition LP.” The company will have the option to issue an additional $20 million in notes in 2020 and another $20 million in 2021.
Optinose Chief Financial Officer Keith Goldan commented, “The capital available under this facility has the potential to meaningfully extend our cash runway, and Pharmakon’s reputation of forming successful, long-term, relationships with growth-stage companies such as Optinose makes them a great financial partner for us. Optinose is focused on growing Xhance, for which we recently achieved a third consecutive quarter of 50% or greater growth in prescriptions, and this substantial financing commitment allows our team to remain focused on building on that successful track record.”
Read the Optinose press release.
