trending Market Intelligence /marketintelligence/en/news-insights/trending/p-e_4ajbfss1bdqejubjpw2 content esgSubNav
In This List

Theratechnologies revises HIV drug agreement with EMD Serono

Blog

A Pharmaceutical Company Capitalizes on M&A Activity with Brokerage Research

Blog

2021 Year in Review: Highlighting Key Investment Banking Trends

Blog

Insight Weekly: US stock performance; banks' M&A risk; COVID-19 vaccine makers' earnings

Blog

Global M&A By the Numbers: Q3 2021


Theratechnologies revises HIV drug agreement with EMD Serono

Theratechnologies Inc. said it negotiated a decrease in how much it is supposed to pay EMD Serono Inc. for the commercialization rights of Egrifta, an HIV-1 drug.

The Canadian biotechnology company will now pay a lump sum of US$23.9 million to Germany's EMD Seron, as opposed to US$28.2 million previously.

The US$28.2 million payment comprised a US$4 million payment due in May 2019 and $24.2 million in milestone payments over the next four to five years.

Theratechnologies will fund the payment with the proceeds from a US$50 million offering of convertible unsecured senior notes due June 30, 2023, at a price of US$1,000 per note.

The notes offering will be led by RBC Capital Markets and a syndicate of underwriters and the notes will be direct, senior, unsecured obligations and will bear interest at a rate of 5.75% per annum.

The offering is expected to close by June 19, subject to customary closing conditions.

Proceeds from the debt offering will also be used to fund the commercialization of Theratechnologies' HIV therapy, Trogarzo, in Europe and other areas. The treatment is already approved in the U.S.