Amryt Completes $125 Million Non-Dilutive Debt Refinancing
February 23, 2022
Rare disease specialty pharmaceutical Amryt said that it has secured $125 million of senior credit facilities from funds managed by the Credit Group of Ares Management Corporation.
Amryt will use a portion of the proceeds to refinance its previous secured term debt facility, which has an outstanding balance of $94 million, an interest rate of 13 percent and a maturity date of September 2024. The company said the new facilities will generate significant annual interest cost savings, as well as provide for important strategic flexibility as it looks to continue to grow its global rare disease presence.
The new credit facilities include an $85 million term loan facility and a $40 million revolving credit facility, both of which require interest-only payments until facility matures in February 2027. There are no warrants or any equity conversion features associated with the new facilities.
The proceeds will be used to refinance existing debt, for general corporate and product development purposes; and potentially for shareholder approved share repurchase programs.
“We are pleased to announce the refinancing of our term debt facilities with Ares. “The refinancing further strengthens our balance sheet, significantly reduces our interest costs and extends the maturity profile of our term debt facilities through 2027,” said Joe Wiley, CEO of Amryt Pharma.
Amryt markets three orphan disease products. Myalept is approved in the United States as an adjunct to diet as replacement therapy to treat the complications of leptin deficiency in patients with congenital or acquired generalized lipodystrophy (GL) and in the European Union (under the trade name Myalepta) as an adjunct to diet for the treatment of leptin deficiency in patients with congenital or acquired GL in adults and children two years of age and above and familial or acquired partial lipodystrophy (PL) in adults and children 12 years of age and above for whom standard treatments have failed to achieve adequate metabolic control.
Mycapssa, the first and only FDA approved oral somatostatin analog, is approved in the United States for long-term maintenance therapy in acromegaly patients who have responded to and tolerated treatment with octreotide or lanreotide.
Juxtapid is approved as an adjunct to a low-fat diet and other lipid-lowering medicinal products for adults with the rare cholesterol disorder, Homozygous Familial Hypercholesterolaemia (HoFH) in the United States, Canada, Colombia, Argentina, and Japan, and in the European Union, Israel, Saudi Arabia and Brazil under the trade name Lojuxta.
Amryt’s pipeline includes lead candidate, Oleogel-S10, is in development as a potential treatment for the cutaneous manifestations of Junctional and Dystrophic Epidermolysis Bullosa (EB), a rare and distressing genetic skin disorder affecting young children and adults for which there is currently no approved treatment; and AP103, a preclinical gene therapy candidate for the potential treatment for patients with Dystrophic EB, and the polymer-based delivery platform, which has the potential to be developed for the treatment of other genetic disorders.
Author: Rare Daily Staff
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