Full Press Release Details
Liquidia Corporation
419 Davis Drive, Suite 100
Morrisville, NC 27560
Million Debt Facility with Silicon Valley Bank
TRIANGLE PARK, N.C., March 2, 2021 - Liquidia Corporation (NASDAQ: LQDA) today announced the closing
of a debt facility on February 26, 2021, with Silicon Valley Bank, which provides Liquidia with up to $20.5 million in term
loans of which the first $10.5 million was funded at closing.
Under the terms of the debt facility, Silicon Valley Bank will
make loans available in three tranches. Proceeds from the first tranche of $10.5 million have been used to retire Liquidia's
existing term debt with Pacific Western Bank and adds approximately $1.0 million to Liquidia's balance sheet. A second tranche
of $5.0 million is available upon the Food and Drug Administration (FDA) granting Liquidia tentative approval for LIQ861 by June 30,
2022, and the third tranche of $5.0 million is available upon receipt of final and unconditional approval for LIQ861 by December 31,
2022. The debt facility will mature on September 1, 2024 and will consist of interest-only payments through March 31,
Michael Kaseta, Chief Financial Officer of Liquidia, said: "We
are very pleased to secure this debt facility and to work with Silicon Valley Bank, a great partner who can continue to grow with
us. The interest-only payments on the first tranche will reduce our cash outlay by $5.5 million in 2021 and $4.5 million in 2022.
The additional tranches of debt provide non-dilutive capital at key moments through the course of 2022 as we prepare for LIQ861
"Liquidia is driving important advancements in the pharmaceutical
industry through its innovative PRINT technology," said Scott McCarty, Director of Life Science and Healthcare at Silicon
Valley Bank. "We are proud to support the Liquidia team with this debt facility as the company advances the development and
commercialization of LIQ861 and the Treprostinil Injection."
Liquidia Corporation operates through the company's subsidiaries, Liquidia Technologies, Inc. and Liquidia PAH, LLC.
The Company, through Liquidia Technologies, Inc., is a biopharmaceutical company focused on the development and commercialization
of products in pulmonary arterial hypertension and other applications of its PRINT technology. Liquidia is developing two product
candidates: LIQ861, an inhaled dry powder formulation of treprostinil for the treatment of pulmonary arterial hypertension (PAH),
and LIQ865, an injectable, sustained-release formulation of bupivacaine for the management of local post-operative pain for three
to five days after a procedure. Liquidia PAH, LLC provides commercialization for rare disease pharmaceutical products, such as
Treprostinil Injection, Sandoz Inc.'s first-to-file, generic treprostinil for PAH.
Liquidia Corporation
is headquartered in Research Triangle Park, NC. For more information, please visit www.liquidia.com.
Liquidia Corporation
419 Davis Drive, Suite 100
Morrisville, NC 27560
About Silicon Valley Bank
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Vice President, Corporate Development and Strategy