Cerus Corporation Secures $30 Million Growth Capital Credit Facility From Oxford Finance
CONCORD, Calif.--(BUSINESS WIRE)--Cerus Corporation (NASDAQ: CERS) announced today that it has entered into a $30 million growth capital credit facility with Oxford Finance LLC. Cerus received an immediate $10 million loan at closing on June 30, 2014. The Company has the option to draw another $10 million upon approval of its U.S. Premarket Approval (PMA) submissions for the INTERCEPT Blood System for either platelets or plasma. The approval also triggers a third $10 million tranche which is available at the Company’s option between July 1, 2015 and December 31, 2015, subject to achievement of certain specified consolidated revenue milestones.
“We are excited to partner with Cerus in support of its North American expansion and its growing INTERCEPT revenue base”
“We are pleased to be working with Oxford again. Their understanding of our business and shared beliefs in the benefits of INTERCEPT make this a strong partnership,” said Kevin D. Green, vice president, finance and chief financial officer of Cerus Corporation. “This non-dilutive facility and the access to significant capital in a phased approach provides us with the flexibility and resources to execute the activities necessary for a successful and aggressive North American launch, as well as supporting further expansion of INTERCEPT’s global commercial markets."
“We are excited to partner with Cerus in support of its North American expansion and its growing INTERCEPT revenue base,” said Christopher A. Herr, managing director for Oxford Finance. “Our shared vision for improved patient care, along with Cerus’ committed management team and leading technology presents an excellent lending opportunity for us.”
Cerus Corporation is a biomedical products company focused in the field
of blood safety. Cerus currently markets and sells the INTERCEPT Blood
System for both platelets and plasma in Europe, the Commonwealth of
Independent States, the Middle East and selected countries in other
regions around the world. In the United States, Cerus is seeking
regulatory approval of the INTERCEPT Blood System for plasma and
platelets. The INTERCEPT red blood cell system is in clinical
See http://www.cerus.com for more information.
ABOUT OXFORD FINANCE LLC
Oxford Finance is a specialty finance firm providing senior secured loans to public and private life sciences and healthcare services companies worldwide. For over 20 years, Oxford has delivered flexible financing solutions to its clients, enabling these companies to maximize their equity by leveraging their assets. In recent years, Oxford has originated over $2 billion in loans, with lines of credit ranging from $500 thousand to $50 million. Oxford is headquartered in Alexandria, Virginia, with additional offices in California, Massachusetts, Illinois and North Carolina. For more information visit www.oxfordfinance.com.
INTERCEPT and the INTERCEPT Blood System are trademarks of Cerus Corporation.
This press release contains forward-looking statements. Any statements contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements, including, without limitation, statements relating to potential draws against the credit facility, and the sufficiency of resources to commercially launch the INTERCEPT Blood System in North America and expand into other geographies. These forward-looking statements are based upon Cerus’ current expectations. Actual results could differ materially from these forward-looking statements as a result of certain factors, including, without limitation, risks associated with the commercialization and market acceptance of the INTERCEPT Blood System, the sufficiency of Cerus’ cash resources and other risks detailed in the Cerus' filings with the Securities and Exchange Commission (SEC), including in Cerus' annual report on Form 10-Q for the quarter ended March 31, 2014, filed with the SEC on May 12, 2014. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Cerus does not undertake any obligation to update any forward-looking statements as a result of new information, future events, changed assumptions or otherwise.