89bio (ETNB) said Thursday it negotiated with lenders a $50 million increase in its borrowing capacity.
The biotechnology company said in a regulatory filing with the Securities and Exchange Commission that its lenders amended an existing term loan agreement to $150 million from $100 million. The term loan is set to expire on Oct. 1, 2028.
89bio received $35 million at closing, and will have an additional $35 million available through June 30, 2025.
A second tranche of $30 million will be funded once a certain, time-based clinical milestone is met, while a further $50 million will be made available subject to lenders' due diligence, the company said.
As part of the agreement, 89bio also issued 406,951 warrants to K2 HealthVentures exercisable at $7.3719 each.
Price: 7.17, Change: -0.09, Percent Change: -1.21
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.