BioPharma Credit PLC
6 February 2024
BIOPHARMA
CREDIT PLC
(THE
"COMPANY")
STATEMENT
RE COHERUS BIOSCIENCES, Inc.
Pharmakon Advisors, LP, the
investment manager of the Company, notes the filing of
a Form 8-K made on 5 February 2024 by Coherus Biosciences, Inc.
("Coherus"). Subject to the closing under the Purchase Agreement
(as referenced below), Coherus plans to make a partial prepayment
of $175,000,000 of the outstanding principal balance of
$250,000,000 under the Existing Loan Agreement. The Company's
portion of such partial principal prepayment would be
$87,500,000. Coherus anticipates making
such partial prepayment in Q2 2024.
The Form 8-K is copied below in part
for convenience and can be found in its entirety at:
Coherus Form 8-K Report.
"On February 5, 2024, Coherus
BioSciences, Inc. (the "Company"), as borrower and on behalf of
itself and certain of its subsidiaries, entered into a Consent,
Partial Release and Third Amendment to Loan Agreement (the "Consent
and Amendment") with Biopharma Credit PLC, a public limited company
incorporated under the laws of England and Wales, as collateral
agent (the "Collateral Agent"), BPCR Limited Partnership, a limited
partnership established under the laws of England and Wales, as a
lender ("BPCR"), and Biopharma Credit Investments V (MASTER) LP, a
Cayman Islands exempted limited partnership acting by its general
partner, BioPharma Credit Investments V GP LLC (as a lender, and
together with as BPCR, each, a "Lender" and collectively, the
"Lenders"), pursuant to which the Lenders and the Collateral Agent
provided certain consents, and released certain assets and
subsidiaries of the Company from their obligations under the
Existing Loan Agreement and the other loan documents in connection
therewith, and the parties thereto agreed to amend the previously
disclosed loan agreement dated as of January 5, 2022 (as amended on
April 7, 2022 and February 6, 2023, and as further amended,
restated, amended and restated, supplemented or otherwise modified
from time to time prior to the date of the Consent and Amendment,
the "Existing Loan Agreement") among the Company, certain of its
subsidiaries, the Collateral Agent and the Lenders.
Pursuant to and subject to terms and
conditions in the Consent and Amendment, among other things: (1)
the Lenders and the Collateral Agent provided consent to
consummation of the transactions contemplated by that certain
Purchase and Sale Agreement dated as of January 19, 2024 (the
"Purchase Agreement") by and between the Company and Sandoz Inc., a
Delaware corporation, and released certain subsidiary of the
Company from its obligation and certain assets subject to the
transactions contemplated thereby, (2) the Lenders and the
Collateral Agent permitted the Company to make a partial prepayment
of the principal of the loans outstanding under the Existing Loan
Agreement in the amount of $175,000,000 upon consummation of the
transactions contemplated by the Purchase Agreement, subject to
certain conditions and (3) the parties thereto agreed to adjust the
minimum net sales covenant level under the Existing Loan
Agreement.
Other terms of the Existing Loan
Agreement, as amended by the Consent and Amendment, remain
generally identical to those under the Existing Loan
Agreement.
The above description of the
material terms of the Consent and Amendment does not purport to be
complete and is qualified in its entirety by reference to the full
text of the Consent and Amendment, which is filed as Exhibit 10.1
hereto and is incorporated herein by reference."
Pharmakon Advisors, LP will
continue to provide updates in due course.
Enquiries
Buchanan
David Rydell / Mark Court
/ Jamie Hooper / Henry Wilson
+44 (0) 20 7466 5000
biopharmacredit@buchanan.uk.com
Notes to Editors
BioPharma Credit
PLC is London's only specialist debt investor to the
life sciences industry and joined the LSE in March
2017. BioPharma Credit PLC seeks to provide long-term
shareholder returns, principally in the form of sustainable income
distributions from exposure to the life sciences
industry. BioPharma Credit PLC seeks to achieve this
objective primarily through investments in debt assets secured by
royalties or other cash flows derived from the sales of approved
life sciences products.