Alvotech Secures Term Loan Facility of USD 100 Million

Core Viewpoint - Alvotech has secured a USD 100 million senior term loan facility to enhance liquidity and support its strategic priorities for 2026 [1][6] Financing Details - The loan facility has a maturity date in December 2027 and an interest rate of 12.50%, payable monthly in cash [3] - This financing replaces a previously disclosed working capital facility and provides Alvotech with full access to the USD 100 million throughout the loan term, offering enhanced operational flexibility [3] Strategic Implications - The financing is led by GoldenTree Asset Management, reflecting their long-term commitment to Alvotech's strategy and growth plans [2] - Alvotech aims to invest in R&D and deliver high-quality biosimilars, with a current pipeline of 30 products in development, positioning it among the most valuable biosimilar portfolios in the industry [2][4] Recent Developments - The term loan follows a strategic refinancing transaction maturing in June 2029 and a recent repricing of an existing facility to an interest rate of SOFR plus 6.0%, approximately 9.8% based on the 30-day average SOFR rate of ~3.8% [4] - Alvotech has also successfully placed USD 108 million in senior unsecured convertible bonds due 2030, reinforcing its capital structure [4] Market Position - Alvotech is focused on becoming a global leader in the biosimilar space, with five biosimilars already approved and marketed in multiple global markets [5] - The current development pipeline includes nine disclosed biosimilar candidates targeting various medical conditions, including autoimmune disorders and cancer [5]