Provention Bio takes a $125M loan to advance Eli Lilly’s once-rejected diabetes drug
Amidst the ongoing biotech market slowdown, companies are trying various ways to stay afloat. Some are going public, and some are taking on debt.
The newest entrant to the borrowers’ club is New Jersey-based Provention Bio, which has secured a term loan facility of up to $125 million with Hercules Capital.
The funding will be available in five tranches, with the first tranche of $25 million drawn at closing. The company has the option to draw the second tranche of $40 million upon approval of teplizumab, subject to certain conditions.
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