Full Press Release Details
ADMA Biologics Enters Into $100 Million
Credit Facility Loan Amendment with Perceptive Advisors
Increases Size of Facility and Extends
Interest-Only Period Enabling ADMA to Reach Profitability Prior to Maturity
Demonstrates Perceptive's Commitment
and Long-Term Positive Outlook for ADMA's Commercial IG Drug Product Portfolio, IP Estate, and Asset Value Supported by Plasma
Centers and a Vertically Integrated Plasma Fractionation and Fill/Finish Manufacturing Plant
RAMSEY, N.J. and BOCA RATON, FL., - December 9, 2020
- ADMA Biologics, Inc. (Nasdaq: ADMA) ("ADMA" or the "Company"), an end-to-end commercial biopharmaceutical
company dedicated to manufacturing, marketing and developing specialty plasma-derived biologics, today announced an amendment to
its existing senior secured term loan with Perceptive Advisors ("Perceptive"), which provides for an additional loan
tranche of $15 million, increasing the total size of the credit facility to $100 million. The amended terms for the existing $85
million credit facility additionally provide for, among other things, a two-year extension of the interest only period through
the duration of the credit facility now maturing in March 2024, at an unchanged borrowing rate of 11%. The newly issued loan tranche
of $15 million from Perceptive was fully drawn and used to pay the remaining obligations under the Biotest AG subordinated note
entered into in June of 2017, at a 7% mutually agreed discount with no associated prepayment penalties. This additional loan tranche
carries the same terms as the amended senior secured loans. There were no modifications made to the existing revenue covenants
of the credit facility with Perceptive.
"This upsized loan amendment demonstrates Perceptive's
long-term view for the plasma industry and ADMA's important role as a reliable producer of plasma-derived biologics,"
said Joseph Edelman, Chief Executive Officer and Founder of Perceptive Advisors. "We remain committed to supporting ADMA's
business and unlocking shareholder value that we believe has yet to be realized. We are optimistic that the asset value of manufactured
plasma and plasma collection centers will continue to appreciate into the future."
to our senior secured term loan, with its increased size and extended maturities, strengthens our long-term capital position and
allows us to continue to execute on our strategic priorities, including supply chain enhancement initiatives and plasma center
expansion, in addition to generating considerable near-term and ongoing revenue growth," stated Adam Grossman, President
and Chief Executive Officer of ADMA. "Despite ongoing COVID-19 headwinds, we remain
on track to achieve our previously provided guidance for topline revenues of $250 million or greater by 2024, and we are confident
that we are well-positioned to achieve profitability prior to the new 2024 maturity date of the loan. The continued support from
Perceptive, who remains our largest equity holder, is a testament to the shareholder value that we believe will be created as we
execute on these corporate objectives and establish ADMA as the only fully integrated American plasma fractionator."
"Perceptive is pleased to provide additional capital to
support ADMA's near-term revenue and profitability growth strategy," stated Sam Chawla, Portfolio Manager at Perceptive.
"The Company has made significant progress and has met all of our goals and objectives to date. We look forward to seeing
ADMA's continued progress and supporting the Company's mission and value creating business objectives, focused on improving
healthcare options for patients at risk of infectious diseases."
The Perceptive credit amendment has an interest-only term with
a maturity date of March 1, 2024. Borrowings under the Perceptive credit agreement bear interest at a rate per annum equal to 7.5%
plus the greater of one-month LIBOR and 3.5%. ADMA will also issue a warrant to Perceptive to purchase 2,390,000 shares of the
Company's common stock at the lower of ADMA's closing share price on the date of the amendment and the 10-day VWAP
The debt financing disclosed in this press release is not all
inclusive and, as such, the statements in this press release are qualified in their entirety by reference to the description of
the debt financing transaction and corresponding exhibits, which are included in a Current Report on Form 8-K filed concurrently
with this press release by ADMA with the Securities and Exchange Commission.
About Perceptive Advisors (Perceptive)
Founded in 1999, Perceptive Advisors
is a leading healthcare focused investment firm with over $8.5 billion of regulatory assets under management as of October 29,
2020. Since inception, Perceptive Advisors has focused on supporting progress in the life sciences industry by identifying opportunities
and directing financial resources toward the most promising technologies in modern healthcare. For more information about
Perceptive, visit www.perceptivelife.com.
About ADMA Biologics, Inc. (ADMA)
ADMA Biologics is an end-to-end American commercial
biopharmaceutical company dedicated to manufacturing, marketing and developing specialty plasma-derived biologics for the
treatment of immunodeficient patients at risk for infection and others at risk for certain infectious diseases. ADMA
currently manufactures and markets three United States Food and Drug Administration (FDA) approved plasma-derived biologics
for the treatment of immune deficiencies and the prevention of certain infectious diseases: BIVIGAM (immune globulin
intravenous, human) for the treatment of primary humoral immunodeficiency (PI); ASCENIV (immune globulin intravenous,
human - slra 10% liquid) for the treatment of PI; and NABI-HB (hepatitis B immune globulin, human) to provide
enhanced immunity against the hepatitis B virus. ADMA manufactures its immune globulin products at its FDA-licensed plasma
fractionation and purification facility located in Boca Raton, Florida. Through its ADMA BioCenters subsidiary, ADMA also
operates as an FDA-approved source plasma collector in the U.S., which provides a portion of its blood plasma for the
manufacture of its products. ADMA's mission is to manufacture, market and develop specialty plasma-derived, human
immune globulins targeted to niche patient populations for the treatment and prevention of certain infectious diseases and
management of immune compromised patient populations who suffer from an underlying immune deficiency, or who may be immune
compromised for other medical reasons. ADMA has received U.S. Patents: 9,107,906, 9,714,283, 9,815,886, 9,969,793 and
10,259,865 related to certain aspects of its products and product candidates. For more information, please visit
Cautionary Note Regarding Forward-Looking Statements
This press release contains "forward-looking statements"
pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, about ADMA Biologics, Inc. ("we,"
"our" or the "Company"). Forward-looking statements include, without limitation, any statement that may
predict, forecast, indicate, or imply future results, performance or achievements, and may contain such words as "estimate,"
"project," "intend," "forecast," "target," "anticipate," "plan,"
"planning," "expect," "believe," "will," "should," "could,"
"would," "may," or, in each case, their negative, or words or expressions of similar meaning. These forward-looking
statements also include, but are not limited to, statements about ADMA's future results of operations; timing of revenue
and profitability; execution of corporate objectives and achievement of goals; realization of shareholder value; and future appreciation
of the asset value of manufactured plasma and plasma collection centers. Actual events or results may differ materially from those
described in this document due to a number of important factors. Current and prospective security holders are cautioned that there
also can be no assurance that the forward-looking statements included in this press release will prove to be accurate. Except to
the extent required by applicable laws or rules, ADMA does not undertake any obligation to update any forward-looking statements
or to announce revisions to any of the forward-looking statements. Forward-looking statements are subject to many risks, uncertainties
and other factors that could cause our actual results, and the timing of certain events, to differ materially from any future results
expressed or implied by the forward-looking statements, including, but not limited to, the risks and uncertainties described in
our filings with the U.S. Securities and Exchange Commission, including our most recent reports on Form 10-K, 10-Q and 8-K, and
any amendments thereto.
Director, Investor Relations and Corporate
Strategy | 201-478-5552 | sbloom@admabio.com
INVESTOR RELATIONS CONTACT:
Managing Director, Argot Partners | 212-600-1902