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     145  0 Kommentare Aytu BioPharma Announces Paydown and Refinancing of Term Loan on More Favorable Terms

    Company receives proceeds of $3.5 million through exercise of warrants, a portion of which was used to pay down debtInterest rate on new $13.0 million term loan reduced by approximately 350 basis points today, potentially saving the Company $1.3 …

    Company receives proceeds of $3.5 million through exercise of warrants, a portion of which was used to pay down debt

    Interest rate on new $13.0 million term loan reduced by approximately 350 basis points today, potentially saving the Company $1.3 million over the life of the term loan

    Term loan maturity extended to June 12, 2028

    Extension of Revolving Credit Facility increases potential borrowing capacity

    DENVER, CO / ACCESSWIRE / June 18, 2024 / Aytu BioPharma, Inc. (the "Company" or "Aytu") (NASDAQ:AYTU), a pharmaceutical company focused on commercializing novel therapeutics, today announced the successful refinancing of its existing term loan and extension of its revolving credit facility on more favorable terms to the Company. In addition, the Company received $3.5 million of additional capital through the exercise of warrants from its June 2023 equity financing, a portion of which was used to pay down the term loan indebtedness.

    "Aytu has executed a multi-year effort to re-position the company as a growing specialty pharmaceutical company focused on our novel branded ADHD drugs and pediatric therapeutics. This successful execution is now being recognized financially with our consolidation to one lender and extension of these facilities on terms much more favorable to the company," commented Josh Disbrow, Chief Executive Officer of Aytu. "Additionally, the recent exercise of warrants provided net proceeds to the company of $3.5 million, a portion of which was used as a capital source to pay down some of the existing term loan, as we continue to strengthen our balance sheet. We are confident that with our strategic focus on cash flows and earnings, we will continue to further enhance the financial profile of the company going forward."

    New Eclipse Term Loan

    On June 12, 2024, the Company entered into a new $13.0 million secured, amortizing term loan with Eclipse Business Capital LLC ("Eclipse) at an interest rate of the secured overnight financing rate as administered by the SOFR Administrator ("SOFR") plus 7.0% (effectively 12.4% today) (the "Eclipse Term Loan"). The Eclipse Term Loan replaces the Company's previous $15.0 million secured term loan with Avenue Capital Group II, L.P. ("Avenue"), which would have had an effective interest rate today of 15.9%. The Eclipse Term Loan will mature on June 12, 2028, with a straight-line loan amortization period of seven years, which would provide for a loan balance at the end of the four-year term of approximately $5.6 million to be repaid at maturity.

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    Aytu BioPharma Announces Paydown and Refinancing of Term Loan on More Favorable Terms Company receives proceeds of $3.5 million through exercise of warrants, a portion of which was used to pay down debtInterest rate on new $13.0 million term loan reduced by approximately 350 basis points today, potentially saving the Company $1.3 …