Valneva announces extension of existing loan agreement
French vaccine maker Valneva SE will double the amount of a US$100m debt financing granted by Deerfield Management Company and OrbiMed.
An add-on loan provides Valneva SE with immediate access to $50m, with an additional $50m available in Q4/2023. According to the vaccine maker, the increased funding will be used to further invest in R&D, as well as continued market access preparations and potential commercialization of Valnevas chikungunya vaccine candidate.
The extension of the credit follows news that the U.S. Food & Drug Administration has delayed the PDUFA date for Valnevas chikungunya virus vaccine VLA1553 from the end of August to the end of November to allow sufficient time to coordinate and agree on the Phase IV program required for the accelerated approval process.
Peter Bühler, Chief Financial Officer of Valneva, said, We greatly appreciate the continued support from Deerfield and OrbiMed as we continue to execute on our launch preparations for our chikungunya vaccine candidate [ ] for which we anticipate potential FDA approval by the end of November.
The add-on facility has a three-year interest-only period and will mature in the third quarter of 2028. The loan interest rate remains unchanged. The original loan agreement was signed in February 2020. Valneva announced amendments to the terms in January 2021 and upsizing in April 2022.
