July 14, 2021
Saniona (OMX: SANION), a clinical-stage biopharmaceutical company focused on rare diseases, today announced that he has Enters a non-dilutive term loan agreement for 87 million SEK ($ 10 million) with Formula North Fokus AS. The proceeds of the loan will be used to support the activities of Saniona clinical development programs and for working capital.
Rami Levin, President and CEO of Saniona, said: “We have just launched a Phase 1 trial on SAN711 and we are preparing to launch two Phase 2b trials with Tesomet in Prader-Willi Syndrome and the hypothalamic obesity, respectively. At the same time, we are already looking to the future and have identified ways to speed up the conduct of these trials and enable a smooth and rapid transition to the next phase of clinical development. These initiatives will require additional capital; we therefore obtained this loan, which provides non-dilutive financing on competitive terms. The loan allows us to support these initiatives without impacting the social capital. “
There are no warrants or equity conversion features associated with the loan, other than conversion eligibility on default. A commitment fee of 6% will be paid to Formue Nord, resulting in net proceeds of SEK 81.78 million for the company. The loan will bear interest at 1% on the gross loan amount per 30 day period beginning until the loan is repaid and settled. The loan matures in June 2023.
Rasmus Viggers, Investment Director and Partner of Formue Nord, said: “We continue to see strong value creation potential in Saniona’s strategy to advance innovative medicines for rare diseases. We are delighted to support this mission and are confident in the company’s ability to deliver.
For more information please contact
Trista Morrison, Director of Communications, Saniona. Office: +1 (781) 810-9227. E-mail: [email protected]
The information has been submitted for publication, through the contact person indicated above, at 14.00 THISSTonne 14 July 2021.
Saniona is a biopharmaceutical company focused on the discovery, development and delivery of innovative treatments for patients with rare diseases around the world. The company’s lead product candidate, Tesomet, is in mid-stage clinical trials for hypothalamic obesity and Prader-Willi syndrome, rare serious disorders characterized by uncontrollable hunger and uncontrollable weight gain. Saniona’s powerful drug discovery engine has generated a library now comprising more than 20,000 proprietary ion channel modulators, a significantly untapped and scientifically validated class of drugs. Principal candidate SAN711 is in a Phase 1 clinical trial and may be applicable in the treatment of rare neuropathic disorders, while SAN903 for rare inflammatory and fibrotic disorders is advancing in preclinical development. Led by an experienced scientific and operational team, Saniona has a research organization based in Copenhagen, Denmark, and head office in the Boston, Massachusetts, United States area. The company’s shares are listed on the Nasdaq Stockholm Small Cap (OMX: SANION). Read more on www.saniona.com.