Breaking News: Theratechnologies Secures $75 Million in New Credit Facilities with TD Bank and Investissement Québec!
MONTREAL, Dec. 02, 2024 (GLOBE NEWSWIRE) —
Theratechnologies Inc. (“Theratechnologies” or the “Company”) (TSX: TH) (NASDAQ: THTX), a biopharmaceutical company focused on the development and commercialization of innovative therapies, today announced that it has closed on a $40 million three-year non-dilutive, senior secured syndicated financing with TD Bank, as agent (TD Bank Financing). The new credit facilities include a $20 million accordion feature, which could expand total commitments up to $60 million. Investissement Québec (IQ), the Company’s largest shareholder, has also agreed to provide a $15 million second ranking secured subordinated term loan (IQ Subordinated Loan). Net proceeds from the new loans together with cash on hand will be used to repay all obligations including prepayment penalties under the Company’s existing facility with affiliates of Marathon Asset Management, L.P. (Marathon) pursuant to the credit agreement entered into with Marathon in July 2022, and to fund business development activities. All amounts are in US dollars unless otherwise stated.
Theratechnologies, a leading biopharmaceutical company, has recently secured $75 million in new credit facilities with TD Bank and Investissement Québec. This funding will provide the company with the necessary resources to advance its innovative therapies and support its business development activities. The $40 million three-year non-dilutive, senior secured syndicated financing with TD Bank, coupled with the $15 million second ranking secured subordinated term loan from Investissement Québec, demonstrates confidence in Theratechnologies’ growth potential.
The accordion feature of the new credit facilities allows for potential expansion of total commitments up to $60 million, providing additional flexibility for the company to pursue strategic opportunities. By repaying all obligations under its existing facility and utilizing the funds for future initiatives, Theratechnologies is well-positioned to further its mission of developing and commercializing groundbreaking treatments.
Investissement Québec’s involvement as the Company’s largest shareholder highlights a strong partnership and commitment to Theratechnologies’ success. With a focus on driving innovation in the biopharmaceutical industry, the Company is dedicated to improving patient outcomes and advancing healthcare on a global scale. The infusion of new capital will enable Theratechnologies to strengthen its position in the market and continue its trajectory of growth and development.
How Will This Affect Me?
As a stakeholder in the healthcare industry, the news of Theratechnologies securing $75 million in credit facilities with TD Bank and Investissement Québec signals a positive outlook for the company’s future. The financial support from these institutions will likely lead to new advancements in treatment options and potentially impact the medical community as a whole. Patients may benefit from potential breakthrough therapies that could result from this increased funding, ultimately leading to improved healthcare outcomes for individuals worldwide.
How Will This Affect the World?
The infusion of $75 million in new credit facilities for Theratechnologies has the potential to make a significant impact on the global healthcare landscape. By advancing the development and commercialization of innovative therapies, the Company can contribute to advancements in medical science and potentially address unmet medical needs on a broader scale. This investment underscores a commitment to driving progress and innovation in the biopharmaceutical sector, with the ultimate goal of enhancing healthcare outcomes for populations around the world.
Conclusion
In conclusion, the announcement of Theratechnologies securing $75 million in new credit facilities with TD Bank and Investissement Québec represents a significant milestone for the Company and the healthcare industry at large. This funding will empower Theratechnologies to pursue its mission of developing innovative therapies and advancing healthcare on a global scale. With the support of strategic partners and a focus on driving innovation, Theratechnologies is poised to make a positive impact on patient care and medical advancements in the years to come.
