Collegium Pharmaceutical gets $200 million term loan from BioPharma

Chicago, Feb. 10 – Collegium Pharmaceutical, Inc. entered into a $200 million term loan agreement with BioPharma Credit Investments V (Master) LP as lender, according to an 8-K filing with the Securities and Exchange Commission.

Proceeds, along with a recent issue of $125 million in convertible notes, will be used to fund the $375 million acquisition of the Nucynta franchise from Assertio Therapeutics.

The interest rate on the loan is Libor plus 750 basis points, subject to a 2% Libor floor.

The maturity of the loan will be 48 months from the closing of the acquisition.

Repayment is expected in equal quarterly payments beginning on the three-month anniversary of the closing.

The term loan is secured by substantially all of the assets of the company and its material domestic subsidiaries.

Collegium Pharmaceutical is a Stoughton, Mass.-based specialty pharmaceutical company.

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