Bank loan successfully extended

The phar­ma­ceu­ti­cal com­pa­ny Grü­nen­thal has announced that the exist­ing bank loan of €535 mil­lion has been suc­cess­ful­ly extend­ed. This amend­ment was con­duct­ed in the broad­er con­text of the company’s acqui­si­tion of the Euro­pean rights (exclud­ing Spain and the UK) to the lipid-low­er­ing med­ica­tion CRESTOR™ com­plet­ed in Feb­ru­ary 2021. The term loan matu­ri­ties are now aligned with the com­pa­ny’s Revolv­ing Cred­it Facil­i­ty matu­ri­ty, which fur­ther extends its debt matu­ri­ty pro­file. More than 60 per­cent of the debt facil­i­ties now mature in 2024 or later.
“By extend­ing the matu­ri­ty of our financ­ing, we have gained addi­tion­al flex­i­bil­i­ty to fur­ther fund our growth strat­e­gy,” says Fabi­an Raschke, Chief Finan­cial Offi­cer. „We will con­tin­ue to explore oppor­tu­ni­ties to fur­ther sup­port our organ­ic growth with tar­get­ed acqui­si­tions, that fit our EBITDA and cash flows accre­tive acqui­si­tion strategy.“
The cap­i­tal struc­ture has enabled it to enter into a series of acqui­si­tions and part­ner­ships in recent years. The com­pa­ny has signed trans­ac­tions with a total val­ue of more than US$ 1.7 bil­lion since 2016. These include the glob­al rights to Quten­za™ and the glob­al (exclud­ing Japan) rights to Zomig™, as well as the Euro­pean rights to Nex­i­um™ and glob­al (exclud­ing US and Japan) rights to Vimo­vo™, which is the biggest sin­gle invest­ment in the company’s history.

“These trans­ac­tions are vital build­ing blocks to sup­port Grünenthal’s strat­e­gy of gen­er­at­ing deals that strength­en our finan­cial per­for­mance and enable us to rein­vest in pain research.”
— Fabi­an Raschke