LA JOLLA, Calif., Aug. 31, 2020 /PRNewswire/ -- Regulus
Therapeutics Inc. (Nasdaq: RGLS), a biopharmaceutical company
focused on the discovery and development of innovative medicines
targeting microRNAs, today announced that pursuant to an amendment
of its term loan agreement with Oxford LLC, the Company is eligible
for up to an additional seven months of interest only payments in
the event the Company pays down $10
million in loan principal before April 30, 2021 (the "Principal Paydown Event")
utilizing proceeds from the sale of materials to, and potential
milestones received from, Sanofi as described below. In the
event the Principal Paydown Event does not occur by April 30, 2021, the Company will make principal
and accrued interest payments, in arrears, commencing May 1, 2021, in accordance with the previously
amended terms. If the Principal Paydown Event occurs after
April 30, 2021 but on or before
July 31, 2021, then the Company will
recommence an extended interest only payment period through
December 31, 2021. In the event
the Company receives the additional interest only period, principal
and accrued interest payments will recommence on January 1, 2022.
Concurrently with the Oxford amendment described above, the
Company also entered into an amendment with Sanofi concerning the
receipt of potential milestones from Sanofi for its development of
miR-21 programs. The Company has also sold additional
compound-related materials to Sanofi in exchange for $1 million. Under the terms of the
amendment with Sanofi, and in lieu of the previous $10 million enrollment milestone, the Company is
eligible to receive an additional $4
million upon the completion of transfer and verification of
the materials sold to Sanofi and an additional $5 million milestone upon achievement of the
enrollment milestone. In the event the enrollment milestone
occurs first, the Company will receive the entire $9 million for both milestones. In
addition, the Company is eligible to receive $25.0 million upon the achievement of an
additional development milestone related to Sanofi's development of
miR-21 compounds.
"We are pleased to enter into these two amended agreements with
our partner, Sanofi, and with our lender, Oxford," stated
Jay Hagan, CEO of Regulus. "Their
creative support in this restructuring provides Regulus the
opportunity to pay down debt principal with Oxford from the
proceeds received from Sanofi while potentially extending our
interest-only period through the end of 2021."
About Regulus
Regulus Therapeutics Inc. (Nasdaq: RGLS) is a biopharmaceutical
company focused on the discovery and development of innovative
medicines targeting microRNAs. Regulus has leveraged its
oligonucleotide drug discovery and development expertise to develop
a pipeline complemented by a rich intellectual property estate in
the microRNA field. Regulus maintains its corporate
headquarters in La Jolla,
CA.
Forward-Looking Statements
Statements contained in this press release regarding matters
that are not historical facts are "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act
of 1995, including statements associated with the achievement of
milestone payments from is collaboration partners and paydown of
its debt with Oxford LLC. Because such statements are subject
to risks and uncertainties, actual results may differ materially
from those expressed or implied by such forward-looking statements.
Words such as "believes," "anticipates," "plans," "expects,"
"intends," "will," "goal," "potential" and similar expressions are
intended to identify forward-looking statements. These
forward-looking statements are based upon Regulus' current
expectations and involve assumptions that may never materialize or
may prove to be incorrect. Actual results and the timing of
events could differ materially from those anticipated in such
forward-looking statements as a result of various risks and
uncertainties, which include, without limitation, risks associated
with the process of discovering, developing and commercializing
drugs that are safe and effective for use as human therapeutics and
in the endeavor of building a business around such drugs. In
addition, while Regulus expects the COVID-19 pandemic to adversely
affect its business operations and financial results, the extent of
the impact on Regulus' ability to achieve its preclinical and
clinical development objectives and the value of and market for its
common stock, will depend on future developments that are highly
uncertain and cannot be predicted with confidence at this time,
such as the ultimate duration of the pandemic, travel restrictions,
quarantines, social distancing and business closure requirements in
the U.S. and in other countries, and the effectiveness of actions
taken globally to contain and treat the disease. These
and other risks are described in additional detail in Regulus'
filings with the Securities and Exchange Commission. All
forward-looking statements contained in this press release speak
only as of the date on which they were made. Regulus undertakes no
obligation to update such statements to reflect events that occur
or circumstances that exist after the date on which they were
made.
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SOURCE Regulus Therapeutics Inc.