Ocugen Secures $30 Million in Debt Funding
Ocugen has secured a new $30 million credit facility from Avenue Venture Opportunities Fund. The 4-year facility, fully funded at closing, will support general corporate purposes, capital expenditures, and working capital needs. The funding will primarily support clinical development of three first-in-class modifier gene therapies, including the completion of the OCU400 Phase 3 liMeliGhT clinical trial and preparation for BLA and MAA submissions. With this financing and current cash reserves, Ocugen's cash runway extends into Q1 2026.
Ocugen ha ottenuto un nuovo finanziamento creditizio di 30 milioni di dollari dal Avenue Venture Opportunities Fund. Il finanziamento, della durata di 4 anni e completamente erogato al momento della chiusura, sosterrà scopi aziendali generali, spese in conto capitale e necessità di capitale circolante. Le risorse saranno principalmente destinate allo sviluppo clinico di tre terapie geniche modificatorie di prima classe, incluse la conclusione del trial clinico OCU400 Fase 3 liMeliGhT e la preparazione per le domande BLA e MAA. Con questo finanziamento e le attuali riserve di liquidità, la disponibilità di cassa di Ocugen si estende fino al primo trimestre del 2026.
Ocugen ha asegurado una nueva facilidad de crédito de 30 millones de dólares del Avenue Venture Opportunities Fund. La facilidad de 4 años, completamente financiada al cierre, apoyará los propósitos corporativos generales, los gastos de capital y las necesidades de capital de trabajo. La financiación apoyará principalmente el desarrollo clínico de tres terapias génicas modificadoras de primera clase, incluida la finalización del ensayo clínico OCU400 Fase 3 liMeliGhT y la preparación para las presentaciones BLA y MAA. Con esta financiación y las reservas de efectivo actuales, la disponibilidad de efectivo de Ocugen se extenderá hasta el primer trimestre de 2026.
Ocugen은 Avenue Venture Opportunities Fund로부터 3천만 달러의 신용 시설을 확보했습니다. 4년 만기의 이 시설은 종료 시점에서 전액 자금이 지원되며, 일반 기업 용도, 자본 지출 및 운영 자본 필요를 지원할 것입니다. 이 자금은 주로 OCU400 3상 liMeliGhT 임상 시험 완료 및 BLA 및 MAA 제출 준비를 포함하여 3개의 첫 번째 클래스 변경 유전자 치료 방법의 임상 개발 지원을 위해 사용될 것입니다. 이 자금 조달과 현재의 현금 잔고로 인해 Ocugen의 현금 보유는 2026년 1분기까지 연장됩니다.
Ocugen a sécurisé une nouvelle ligne de crédit de 30 millions de dollars auprès du Avenue Venture Opportunities Fund. Cette ligne de crédit de 4 ans, entièrement financée à la clôture, soutiendra les objectifs corporate généraux, les dépenses en capital et les besoins en fonds de roulement. Le financement soutiendra principalement le développement clinique de trois thérapies géniques modificateurs de première classe, y compris l'achèvement de l'
Ocugen hat eine neue 30-Millionen-Dollar-Kreditfazilität vom Avenue Venture Opportunities Fund gesichert. Die 4-jährige Fazilität, die bei Abschluss vollständig finanziert wird, wird allgemeine Unternehmenszwecke, Investitionsausgaben und Betriebskapitalbedarfe unterstützen. Die Finanzierung wird hauptsächlich die klinische Entwicklung von drei erstklassigen modifizierenden Gentherapien unterstützen, einschließlich des Abschlusses der OCU400 Phase 3 liMeliGhT klinischen Studie und der Vorbereitung der BLA- und MAA-Anträge. Mit dieser Finanzierung und den aktuellen Bargeldreserven wird der Cash-Flow von Ocugen bis ins erste Quartal 2026 reichen.
- Secured $30 million in debt funding
- Extended cash runway into Q1 2026
- Funding supports completion of OCU400 Phase 3 trial
- Takes on debt obligations with associated interest payments
- Indicates need for external funding to continue operations
Insights
The
With a market cap of
The secured funding strategically positions Ocugen to advance its modifier gene therapy pipeline, particularly OCU400, through critical development phases. The focus on completing the Phase 3 liMeliGhT trial and preparing for BLA/MAA submissions indicates confidence in the clinical progress. This financing provides essential resources for three first-in-class modifier gene therapies targeting rare eye diseases, where current treatment options are
The runway extension into 2026 allows for proper execution of clinical development without rushing due to financial constraints, which is important for maintaining data quality in gene therapy trials.
MALVERN, Pa., Nov. 07, 2024 (GLOBE NEWSWIRE) -- Ocugen, Inc. (Ocugen or the Company) (NASDAQ: OCGN), a biotechnology company focused on discovering, developing, and commercializing novel gene and cell therapies, biologics, and vaccines, today announced that on November 6, 2024, the Company entered into a new
The credit facility, which has a term of 4 years, provided
“We are pleased to enter into this relationship with Avenue Capital Group that provides what we believe is a shareholder-friendly financing for the Company,” said Dr. Shankar Musunuri, Chairman, Chief Executive Officer, and Co-founder of Ocugen. “This additional working capital will support the clinical development of our three, first-in-class modifier gene therapies and provide adequate funding to near completion of the OCU400 Phase 3 liMeliGhT clinical trial and prepare for the BLA and MAA submissions.”
This most recent financing is part of Ocugen’s diversified strategy to fund the business and appropriately allocate resources across the portfolio.
“We are pleased to partner with Ocugen with this financing as the Company drives its next chapter of growth, based on its novel scientific platforms and dedication to fighting blindness diseases,” said Chad Norman, Senior Portfolio Manager, Avenue Capital.
With net proceeds from this facility and current cash, cash equivalents, and restricted cash, the Company’s expected cash runway extends into the first quarter of 2026.
Chardan and Titan Partners Group, a division of American Capital Partners, acted as financial advisors to Ocugen on the transaction.
About Ocugen, Inc.
Ocugen, Inc. is a biotechnology company focused on discovering, developing, and commercializing novel gene and cell therapies, biologics, and vaccines that improve health and offer hope for patients across the globe. We are making an impact on patient’s lives through courageous innovation—forging new scientific paths that harness our unique intellectual and human capital. Our breakthrough modifier gene therapy platform has the potential to treat multiple retinal diseases with a single product, and we are advancing research in infectious diseases to support public health and orthopedic diseases to address unmet medical needs. Discover more at www.ocugen.com and follow us on X and LinkedIn.
About Avenue Venture Opportunities
The Avenue Venture Debt Funds seek to provide creative financing solutions to high-growth, venture capital-backed technology and life science companies, focusing generally on companies within the underserved segment of the market created by the widening financing gap between commercial banks and larger debt funds. The Avenue Venture Debt funds are part of the larger group of funds of Avenue Capital Group. For additional information on Avenue Capital Group, which is a global investment firm with assets under management of approximately
Cautionary Note on Forward-Looking Statements
This press release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995, including, but not limited to, strategy, business plans and objectives for Ocugen’s clinical programs, plans and timelines for the preclinical and clinical development of Ocugen’s product candidates, including the therapeutic potential, clinical benefits and safety thereof, expectations regarding timing, success and data announcements of current ongoing preclinical and clinical trials, the ability to initiate new clinical programs; expectations regarding the satisfaction of closing conditions, timing of the funding and the anticipated use of proceeds; Ocugen’s financial condition and expected cash runway into the first quarter of 2026; and statements regarding qualitative assessments of available data, potential benefits, expectations for ongoing clinical trials, anticipated regulatory filings and anticipated development timelines, which are subject to risks and uncertainties. We may, in some cases, use terms such as “predicts,” “believes,” “potential,” “proposed,” “continue,” “estimates,” “anticipates,” “expects,” “plans,” “intends,” “may,” “could,” “might,” “will,” “should,” or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. Such statements are subject to numerous important factors, risks, and uncertainties that may cause actual events or results to differ materially from our current expectations, including, but not limited to, the risks that preliminary, interim and top-line clinical trial results may not be indicative of, and may differ from, final clinical data; that unfavorable new clinical trial data may emerge in ongoing clinical trials or through further analyses of existing clinical trial data; that earlier non-clinical and clinical data and testing of may not be predictive of the results or success of later clinical trials; and that that clinical trial data are subject to differing interpretations and assessments, including by regulatory authorities. These and other risks and uncertainties are more fully described in our annual and periodic filings with the Securities and Exchange Commission (SEC), including the risk factors described in the section entitled “Risk Factors” in the quarterly and annual reports that we file with the SEC. Any forward-looking statements that we make in this press release speak only as of the date of this press release. Except as required by law, we assume no obligation to update forward-looking statements contained in this press release whether as a result of new information, future events, or otherwise, after the date of this press release.
Contact:
Tiffany Hamilton
Head of Communications
Tiffany.Hamilton@ocugen.com
FAQ
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