ADC Therapeutics announces strategic financial restructuring and capital structure improvements
ADCT•ADC Therapeutics said it sold 12.9 million shares at $1.42 each and 48.1 million pre-funded warrants at $1.32 each, with expected gross PIPE proceeds of $86.60 million before fees. It expects third-quarter Zynlonta net product revenue of $21 million and refinanced its senior secured loan, reducing principal to $50 million with a bullet payment due in August 2029.
1. Restructuring details
ADC Therapeutics announced a financial restructuring that includes a private investment in public equity offering of 12.9 million shares at $1.42 each and 48.1 million pre-funded warrants at $1.32 each. Gross proceeds are expected to be $86.60 million before fees.
2. Revenue and loan terms
The company expects third-quarter net product revenue from Zynlonta sales of $21 million. It refinanced its senior secured loan, reducing principal to $50 million, with a bullet payment due in August 2029, and amended its healthcare royalty agreement to remove a change-of-control payment.
