Pliant Therapeutics enters $100 million loan with Oxford Finance

By Mary-Katherine Stinson

Lexington, Ky., May 5 – Pliant Therapeutics Inc. entered a loan facility agreement for up to $100 million of non-dilutive funding with Oxford Finance, according to a press release.

Pliant drew $15 million of an initial $25 million tranche at closing, with $15 million available through the end of 2022.

The company has access to an additional $75 million over three tranches, $50 million of which is based on pre-determined milestones, and $25 million at Oxford’s discretion.

The loan has an interest-only period of 48 months extendable to 60 months and total term of 60 months extendable to 72 months. Interest is based on a floating rate subject to both a floor and a cap.

The agreement has no warrants or financial covenants.

As of Dec. 31, the company had cash, cash equivalents and short-term investments totaling $200.6 million.

The purpose of the facility is to support the continued clinical development of PLN-74809, an oral, small molecule, dual selective inhibitor of certain integrins which are lead indications of idiopathic pulmonary fibrosis and primary sclerosing cholangitis. With this facility in place, the company expects to fund operations through mid-2024.

Based in San Francisco, Pliant is a clinical-stage biopharmaceutical company developing new treatments for fibrotic diseases.

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