ADC Therapeutics launches financial restructuring, lines up $86.6 million PIPE financing
ADCT•ADCT•ADCT•ADCT•ADC Therapeutics launched a financial restructuring built around an $86.6 million PIPE, extending its expected cash runway into 2029. The financing includes 12.9 million common shares at $1.42 and pre-funded warrants for 48.1 million shares at $1.32.
The PIPE includes 12,900,000 common shares priced at $1.42 each and pre-funded warrants to purchase 48,100,000 shares at $1.32 each. ADC Therapeutics expects the restructuring to extend its cash runway into 2029.
The company amended its agreement with HealthCare Royalty to remove a $150 million change-of-control payment, conditional on the PIPE closing by Oct. 31, 2026. It also plans to refinance its senior secured term loan to $50 million outstanding through a $70 million prepayment, conditional on the PIPE closing. The amended loan removes the minimum liquidity covenant and sets a trailing four-quarter U.S. ZYNLONTA sales covenant of $65 million beginning Dec. 31, 2026.
