Pharming obtains financing of Euro 7.5m
Dutch biotech company Pharming Group has secured financing of Euro 7.5m, which the company says will allow it to bring forward Rhucin, its recombinant human C1 esterase inhibitor, which is being developed as a replacement therapy for patients who suffer from hereditary angioedema.
Dutch biotech company Pharming Group has secured financing of Euro 7.5m, which the company says will allow it to bring forward Rhucin, its recombinant human C1 esterase inhibitor, which is being developed as a replacement therapy for patients who suffer from hereditary angioedema.
Sijmen de Vries, chief executive of Pharming, said: "This financing provides a good basis for Pharming to work with the EMEA and FDA to bring Rhucin forward through the regulatory review process and also allows the company to complete commercialisation partnerships for Rhucin.
"The financing has been structured in the form of a 12-month convertible debt instrument that is convertible into Pharming shares at €0.50. The debt has a coupon of 9% per annum and is subordinated to the existing €10.9m convertible bond.
In addition, 15 million warrants are being issued to investors with an exercise price of €0.50 and an expiration date of 31 December, 2012.
Pharming has access to an additional €2.5m under this agreement.
The convertible debt can be repaid in cash in whole or in part if a commercialisation deal for Rhucin materialises with an upfront payment in excess of an undisclosed amount.