Newbury Pharmaceuticals AB has agreed to extend the existing 15 MSEK loan agreement.
Newbury has agreed to a 12-month extension of the loan agreement announced on the 18th of September, 2023. The loan terms remain unchanged except for a new maturity date of December 31st of 2025, and it carries an interest rate of 11% per annum, payable at the end of each quarter. The loan is intended to be repaid in cash. No financial advisor has been used, and therefore no transaction costs apply.
The loan facility is still expected to be replaced by standard bank financing from a major bank, which is providing an inventory financing facility. Discussions on terms and conditions have taken place with a major bank, and Newbury believes that conversion to bank financing will occur before the loan matures.
