Cosmos Health Secures Bond Loan from European Bank on Very Competitive Terms, with Option to Upsize to Support Growth and Achieve Positive Operating Cash Flow
Cosmos Health (NASDAQ:COSM) has secured a €2.2 million (approximately $2.29 million) bond loan through its subsidiary CosmoFarm from a European bank. The loan, announced on January 27, 2025, will be issued in two tranches: €700,000 in Series A Bonds and €1.5 million in Series B Bonds.
The bond loan, maturing on January 27, 2030, carries an interest rate of 2.95% plus the 6-month Euribor rate, payable semi-annually. Series A Bonds will be repaid in 10 equal semi-annual installments, while Series B Bonds are due at maturity. The loan is secured by CosmoFarm's building and includes an option to upsize for additional capital.
The proceeds will support strategic growth initiatives and provide working capital as the company aims to achieve positive operating cash flow.
Cosmos Health (NASDAQ:COSM) ha ottenuto un prestito obbligazionario di €2,2 milioni (circa $2,29 milioni) tramite la sua controllata CosmoFarm da una banca europea. Il prestito, annunciato il 27 gennaio 2025, sarà emesso in due tranche: €700.000 in Obbligazioni di Serie A e €1,5 milioni in Obbligazioni di Serie B.
Il prestito obbligazionario, in scadenza il 27 gennaio 2030, ha un tasso d'interesse del 2,95% più il tasso Euribor a 6 mesi, pagabile semestralmente. Le Obbligazioni di Serie A saranno rimborsate in 10 rate semestrali uguali, mentre le Obbligazioni di Serie B scadranno alla scadenza. Il prestito è garantito dall'edificio di CosmoFarm e include un'opzione per aumentarne l'importo per ulteriore capitale.
Il ricavato sosterrà iniziative di crescita strategica e fornirà capitale circolante mentre l'azienda mira a raggiungere un flusso di cassa operativo positivo.
Cosmos Health (NASDAQ:COSM) ha conseguido un préstamo obligacionario de €2,2 millones (aproximadamente $2,29 millones) a través de su subsidiaria CosmoFarm de un banco europeo. El préstamo, anunciado el 27 de enero de 2025, se emitirá en dos tramos: €700,000 en Bonos Serie A y €1.5 millones en Bonos Serie B.
El préstamo obligacionario, que vence el 27 de enero de 2030, tiene una tasa de interés del 2.95% más la tasa Euribor a 6 meses, pagadera semestralmente. Los Bonos Serie A se pagarán en 10 cuotas semestrales iguales, mientras que los Bonos Serie B deben pagarse al vencimiento. El préstamo está garantizado por el edificio de CosmoFarm e incluye una opción para aumentar la cantidad de capital.
Los ingresos apoyarán iniciativas estratégicas de crecimiento y proporcionarán capital de trabajo mientras la empresa busca lograr un flujo de caja operativo positivo.
코스모스 헬스 (NASDAQ:COSM)는 유럽 은행을 통해 자회사 코스모팜에서 €220만(약 $229만)의 채권 대출을 확보했습니다. 이 대출은 2025년 1월 27일에 발표되었으며, 두 개의 트랜치로 발행됩니다: A 시리즈 채권 €70만, B 시리즈 채권 €150만.
이 채권 대출은 2030년 1월 27일 만기이며, 이자율은 2.95%에 6개월 유로리보율이 추가되어 반기마다 지급됩니다. A 시리즈 채권은 10개의 동일한 반기 할부로 상환되며, B 시리즈 채권은 만기 시에 지급됩니다. 이 대출은 코스모팜의 건물로 담보되며, 추가 자본을 위한 증액 옵션도 포함됩니다.
이 자금은 전략적 성장 이니셔티브를 지원하고 운영 현금 흐름을 긍정적으로 유지하는 데 필요한 운영 자본을 제공할 것입니다.
Cosmos Health (NASDAQ:COSM) a obtenu un prêt obligataire de 2,2 millions d'euros (environ 2,29 millions de dollars) par l'intermédiaire de sa filiale CosmoFarm auprès d'une banque européenne. Le prêt, annoncé le 27 janvier 2025, sera émis en deux tranches : 700 000 € en Obligations de Série A et 1,5 million € en Obligations de Série B.
Le prêt obligataire, échéant le 27 janvier 2030, porte un taux d'intérêt de 2,95 % plus le taux Euribor à 6 mois, payable semestriellement. Les Obligations de Série A seront remboursées en 10 versements semestriels égaux, tandis que les Obligations de Série B sont dues à l'échéance. Le prêt est garanti par le bâtiment de CosmoFarm et comprend une option de montée en capital.
Les fonds serviront à soutenir des initiatives de croissance stratégique et à fournir du fonds de roulement tandis que l'entreprise vise à atteindre un flux de trésorerie d'exploitation positif.
Cosmos Health (NASDAQ:COSM) hat über seine Tochtergesellschaft CosmoFarm ein Anleihe-Darlehen in Höhe von 2,2 Millionen € (ungefähr 2,29 Millionen $) von einer europäischen Bank gesichert. Das Darlehen, das am 27. Januar 2025 bekannt gegeben wurde, wird in zwei Tranchen ausgegeben: 700.000 € in Serie-A-Anleihen und 1,5 Millionen € in Serie-B-Anleihen.
Das Anleihe-Darlehen läuft am 27. Januar 2030 aus und hat einen Zinssatz von 2,95% zuzüglich dem 6-Monats-Euribor, der halbjährlich zahlbar ist. Die Serie-A-Anleihen werden in 10 gleichmäßigen halbjährlichen Raten zurückgezahlt, während die Serie-B-Anleihen bei Fälligkeit zu zahlen sind. Das Darlehen ist durch das Gebäude von CosmoFarm besichert und beinhaltet eine Option zur Erhöhung des Betrags für zusätzliches Kapital.
Die Einnahmen werden strategische Wachstumsinitiativen unterstützen und Betriebskapital bereitstellen, während das Unternehmen anstrebt, einen positiven operativen Cashflow zu erreichen.
- Secured €2.2M ($2.29M) non-dilutive financing
- Competitive interest rate of 2.95% plus Euribor
- Option to upsize the bond issuance for additional capital
- 5-year maturity provides long-term financing stability
- Takes on new debt obligations
- Company property used as collateral
- Currently operating with negative cash flow
Insights
This bond financing represents a strategic move for Cosmos Health, securing
The dual-tranche structure is particularly clever: The
The use of real estate as collateral is a prudent move that likely helped secure the favorable terms. This asset-backed approach to financing demonstrates financial acumen, as it:
- Avoids equity dilution at current market valuations
- Preserves upside potential for shareholders
- Maintains flexibility for future capital raises
The option to upsize the bond issuance provides valuable financial optionality, essentially creating a financing backstop that could be important for seizing growth opportunities or managing working capital needs. The focus on achieving positive operating cash flow suggests a disciplined approach to financial management and could mark a significant inflection point for the company's valuation metrics.
CHICAGO, IL / ACCESS Newswire / January 28, 2025 / Cosmos Health Inc. ("Cosmos Health" or the "Company'') (NASDAQ:COSM), a diversified, vertically integrated global healthcare group engaged in innovative R&D, owner of proprietary pharmaceutical and nutraceutical brands, manufacturer and distributor of healthcare products, and operator of a telehealth platform, announced today that, on January 27, 2025, its wholly owned subsidiary, CosmoFarm S.A. (the "Issuer" or "CosmoFarm"), entered into an agreement with a European bank to issue a €2,200,000 (approximately
Proceeds from the Loan are intended to support the Company's strategic growth initiatives and provide funding for general corporate purposes, including working capital.
Loan Key Terms
The Loan is expected to be issued concurrently in two separate tranches of €700,000 ("Series A Bonds") and €1,500,000 ("Series B Bonds") and will be secured by CosmoFarm's wholly owned building. The Series A Bonds will be repayable in ten (10) equal semi-annual installments, while the Series B Bonds will be repayable in full upon the Loan's maturity.
The Loan matures on January 27, 2030, and carries an interest rate of
The Company has the ability to upsize its secured bond issuance, as an additional financing tool, to raise further capital, offering ongoing flexibility to support its goal of achieving positive operating cash flow.
Greg Siokas, CEO of Cosmos Health, stated: "The issuance of this bond underscores the strength and flexibility of our assets. By leveraging our properties, we have secured a non-dilutive source of capital on very competitive terms, providing robust support for our strategic initiatives. In fact, we have the ability to further leverage our various properties at Cosmos to raise additional non-dilutive capital as we work toward achieving positive operating cash flow status."
About Cosmos Health Inc.
Cosmos Health Inc. (Nasdaq:COSM), incorporated in 2009 in Nevada, is a diversified, vertically integrated global healthcare group. The Company owns a portfolio of proprietary pharmaceutical and nutraceutical brands, including Sky Premium Life®, Mediterranation®, bio-bebe®, C-Sept® and C-Scrub®. Through its subsidiary Cana Laboratories S.A., licensed under European Good Manufacturing Practices (GMP) and certified by the European Medicines Agency (EMA), it manufactures pharmaceuticals, food supplements, cosmetics, biocides, and medical devices within the European Union. Cosmos Health also distributes a broad line of pharmaceuticals and parapharmaceuticals, including branded generics and OTC medications, to retail pharmacies and wholesale distributors through its subsidiaries in Greece and the UK. Furthermore, the Company has established R&D partnerships targeting major health disorders such as obesity, diabetes, and cancer, enhanced by artificial intelligence drug repurposing technologies, and focuses on the R&D of novel patented nutraceuticals, specialized root extracts, proprietary complex generics, and innovative OTC products. Cosmos Health has also entered the telehealth space through the acquisition of ZipDoctor, Inc., based in Texas, USA. With a global distribution platform, the Company is currently expanding throughout Europe, Asia, and North America, and has offices and distribution centers in Thessaloniki and Athens, Greece, and in Harlow, UK. More information is available at www.cosmoshealthinc.com, www.skypremiumlife.com, www.cana.gr, www.zipdoctor.co, as well as LinkedIn and X.
Forward-Looking Statements
With the exception of the historical information contained in this news release, the matters described herein, may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements preceded by, followed by, or that otherwise, include the words "believes," "expects," "anticipates," "intends," "projects," "estimates," "plans" and similar expressions or future or conditional verbs such as "will," "should," "would," "may" and "could", are generally forward-looking in nature and not historical facts, although not all forward-looking statements include the foregoing. These statements, involve unknown risks and uncertainties that may individually or materially impact the matters discussed, herein for a variety of reasons that are outside the control of the Company, including, but not limited to, the Company's ability to raise sufficient financing to implement its business plan, the impact of the COVID-19 pandemic and the war in Ukraine, on the Company's business, operations and the economy in general, and the Company's ability to successfully develop and commercialize its proprietary products and technologies. Readers are cautioned not to place undue reliance on these forward- looking statements, as actual results could differ materially from those described in the forward-looking statements contained herein. Readers are urged to read the risk factors set forth in the Company's filings with the SEC, which are available at the SEC's website (www.sec.gov). The Company disclaims any intention or obligation to update, or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Investor Relations Contact:
BDG Communications
cosm@bdgcommunications.com
+44 207 0971 653
SOURCE: Cosmos Health Inc.
View the original press release on ACCESS Newswire
FAQ
What is the size and structure of COSM's new bond loan?
What are the interest terms for COSM's January 2025 bond loan?
When does COSM's new bond loan mature?
How will COSM use the proceeds from the €2.2M bond loan?
What collateral is COSM using to secure the bond loan?
