Apnimed, the pharmaceutical company developing oral therapies for obstructive sleep apnea (OSA), has announced it has secured a senior secured credit facility for up to $150 million from funds managed by HealthCare Royalty Partners (HCRx).
The funding is aimed at supporting commercial readiness and the planned US launch of Apnimed’s lead candidate, AD109, pending FDA approval.
Under the deal, Apnimed will receive $50 million immediately. An additional $50 million will become available upon FDA approval of AD109, with a potential third tranche of $50 million tied to a pre-specified sales milestone, subject to customary closing conditions.
The financing includes a four-year interest-only period, extendable to five years if a net sales milestone is achieved. Apnimed also agreed to pay a synthetic royalty, set at a low single-digit percentage of net sales of AD109 and certain other specified revenues.
“HCR is a highly respected healthcare investor with deep experience in credit financing, and their investment represents an important validation of our investigational product, AD109 and its commercial potential,” said Larry Miller, Chief Executive Officer of Apnimed.
“This strategic financing provides significant financial flexibility and supports our continued progress toward the potential US commercialization of AD109, if approved.”
“With its focused regulatory and commercial strategy for AD109, a novel oral therapy designed to address the root causes of OSA, we believe Apnimed is uniquely positioned to meaningfully impact the treatment landscape for patients living with this serious disease,” said Clarke Futch, Chairman and Chief Executive Officer of HealthCare Royalty Partners.
“We look forward to supporting Apnimed's continued growth and mission to bring this innovative treatment option to patients as expeditiously as possible.”
