AUSTIN, Texas, May 1, 2017 /PRNewswire/ -- Savara, Inc.
(NASDAQ: SVRA), a clinical-stage specialty pharmaceutical company
focused on the development and commercialization of novel therapies
for the treatment of serious or life-threatening rare respiratory
diseases, today announced that it has entered into a loan agreement
with Silicon Valley Bank (NASDAQGS: SIVB), the bank of the
world's most innovative companies and their investors. The
agreement provides for a $15 million
debt facility, $7.5 million of which
is immediately available to Savara. The primary use of the capital
is for the repayment of pre-merger debt of $3.7 million owed to Hercules Technology Growth
Capital (NYSE: HTGC). In addition, the capital will be utilized to
fund Savara's ongoing development programs and for general
corporate purposes. Immediately after funding of the initial
$7.5 million and the repayment of the
Hercules debt, Savara expects to have cash on hand of approximately
$19 million. Under the terms of the
agreement with Silicon Valley Bank, Savara may, but is not
obligated, to draw an additional amount of $7.5 million through June
30, 2017, subject to the achievement of certain corporate
milestones.
About Savara
Savara Inc. is a clinical-stage
specialty pharmaceutical company focused on the development and
commercialization of novel therapies for the treatment of serious
or life-threatening rare respiratory diseases. Savara's pipeline
comprises AeroVanc, a Phase 3 ready inhaled vancomycin, Molgradex,
a Phase 2/3 stage inhaled granulocyte-macrophage colony-stimulating
factor, or GM-CSF and Aironite, an inhaled nebulized sodium nitrite
solution to treat HFpEF. Savara's strategy involves expanding its
pipeline of best-in-class products through indication expansion,
strategic development partnerships and product acquisitions, with
the goal of becoming a leading company in its field. Savara's
management team has significant experience in orphan drug
development and pulmonary medicine, in identifying unmet needs,
creating and acquiring new product candidates, and effectively
advancing them to approvals and commercialization. More information
can be found at www.savarapharma.com. (Twitter: @SavaraPharma)
Forward Looking Statements
Savara cautions you that statements in this press release that are
not a description of historical fact are forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995. Forward-looking statements may be identified by the use of
words referencing future events or circumstances such as "expect,"
"intend," "plan," "anticipate," "believe," and "will," among
others. Such statements include, but are not limited to, statements
regarding the use of the debt facility proceeds and Savara's
strategy and goals. Savara may not actually achieve any of
the matters referred to in such forward looking statements, and you
should not place undue reliance on these forward-looking
statements. Because such statements are subject to risks and
uncertainties, actual results may differ materially from those
expressed or implied by such forward-looking statements. These
forward-looking statements are based upon Savara's 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 and
uncertainties associated with the ability to project future cash
utilization and reserves needed for contingent future liabilities
and business operations, the availability of sufficient resources
for Savara's operations and to conduct or continue planned clinical
development programs, the timing and ability of Savara to raise
additional equity capital to fund continued operations; the ability
to successfully develop Savara's product candidates, and the risks
associated with the process of developing, obtaining regulatory
approval for and commercializing drug candidates that are safe and
effective for use as human therapeutics. Risks and uncertainties
facing Savara are described more fully in Savara's filings with the
Securities and Exchange Commission including the Form 8-K filed on
April 27, 2017, other filings on Form
8-K, the Annual Report on Form 10-K for the fiscal year ended
December 31, 2016 and the
Registration Statement on Form S-4 related to the Mast/Savara
merger. You are cautioned not to place undue reliance on
forward-looking statements, which speak only as of the date on
which they were made. Savara undertakes any obligation to update
such statements to reflect events that occur or circumstances that
exist after the date on which they were made, except as may be
required by law.
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SOURCE Savara Inc.