Core Viewpoint - GENFIT has successfully completed a royalty financing transaction with HealthCare Royalty (HCRx), providing significant financial resources to support its development programs and reduce convertible debt burden without dilution for shareholders [1][2][3]. Financial Transaction Details - The royalty financing includes an upfront payment of €130 million, with the potential for an additional €55 million contingent on achieving near-term milestones [3][7]. - GENFIT will repurchase 1,882,891 of its 2025 OCEANEs at a price of €32.75 per bond, totaling approximately €61.66 million, which represents 99% of the outstanding OCEANEs [6][7]. - The repurchase is expected to reduce GENFIT's convertible debt to €586 thousand [7]. Future Financial Outlook - The financing arrangement extends GENFIT's cash runway beyond 2027, allowing the company to fund its operating expenses and capital expenditures [4][7]. - The company anticipates receiving significant milestone revenue in 2025, including a €26.55 million milestone pending regulatory approval for Iqirvo® (elafibranor) [4][5]. Pipeline Development - With the new financial backing, GENFIT is positioned to advance its Acute-on-Chronic Liver Failure (ACLF) pipeline, which includes several promising assets at various stages of development [5][7]. - The company retains rights to receive regulatory, commercial, and sales-based milestone payments under its agreement with Ipsen [3][4]. Repurchase Implementation - The settlement of the repurchase is scheduled for March 26, 2025, and the repurchased OCEANEs will be canceled [8]. - A consent fee of €0.90 per bond will be paid on April 14, 2025, to bondholders who participated in the repurchase [9].
GENFIT Announces Completion of Non-dilutive Royalty Financing Agreement with HCRx and Results of Repurchase Offer to 2025 OCEANEs holders