IMV Strengthens Financial Position with Conclusion of US $ 25 Million Long Term Debt Facility
DARTMOUTH, Nova Scotia & CAMBRIDGE, Mass .– (COMMERCIAL THREAD) – IMV Inc. (NASDAQ: IMV; TSX: IMV), a clinical-stage company developing a portfolio of immuno-educational therapies based on its new DPX platform to treat solid and hematologic cancers, today announced the contract for US $ 25 million long-term debt facility led by Horizon Technology Finance Corporation (Nasdaq: HRZN) (âHorizonâ). IMV has withdrawn US $ 15 million and an additional US $ 10 million will be made available once a predefined milestone is reached.
âThis partnership with Horizon complements our recent US $ 25 million equity offering and strengthens our lead and flexibility as we continue to advance MVP-S and DPX-SurMAGE through their next round of clinical and regulatory milestones. . We will also be able to continue to explore the versatility of our DPX technology platform, âsaid Pierre Labbe, Chief Financial Officer of IMV. âThroughout this investment process, the Horizon team has demonstrated an understanding of both our business and the science.
âWe are delighted to support IMV’s efforts at such a critical time for the Company,â said Gerald A. Michaud, President of Horizon. âThis funding is in line with our strategy of investing in innovative life sciences and health companies whose success will help improve patient outcomes and improve public health more broadly. ”
US $ 15 million of the US $ 25 million facility was funded at closing, of which C $ 4.5 million will be used to repay IMV’s existing term loan with the Government of Nova Scotia. The additional US $ 10 million available under the facility will be available once IMV reaches a predetermined milestone. Proceeds from the facility will be used to support the ongoing clinical development of key investigational product candidates in the IMV pipeline and for general working capital purposes.
As part of this debt financing, IMV has agreed to issue Horizon warrants (the âWarrantsâ) to purchase up to 568,180 common shares of the Company (the âSharesâ) at a price of exercise of US $ 1.32 per share until December 17, 2031. 454,544 warrants were issued on December 17, 2021, and the balance of 113,636 warrants are expected to be issued upon drawing of the 10 million. Additional US dollars available under the facility will be accessible as soon as IMV reaches a predetermined milestone. The warrants and the shares issuable upon exercise will be subject to a legal hold period of four months following the issuance of the warrants in accordance with applicable securities laws. For the purposes of the approval of the Toronto Stock Exchange (“TSX”), the Company avails itself of the exemption provided in section 602.1 of the TSX Companies Handbook, which provides that the TSX will not apply its standards to certain transactions involving qualifying interlisted issuers on a recognized exchange, such as NASDAQ, provided the transaction is completed in accordance with the requirements of that other recognized exchange.
The securities offered have not been and will not be registered under the US Securities Act of 1933, as amended (the âUS Securities Actâ), or any state securities law, and cannot be offered or sold to, or on behalf of or for the benefit of, persons in the United States or persons in the United States (as that term is defined in Regulation S under the US Securities Act) without registration under the US Securities Act and all applicable state securities laws, or in compliance with an exemption from such registration requirements. This press release does not constitute an offer to sell or the solicitation of an offer to buy, and there will be no sale of securities in any jurisdiction in which such an offer, solicitation or sale would be illegal.
IMV Inc. is a clinical-stage immuno-oncology company that offers a portfolio of therapies based on the company’s immuno-education platform: DPX â¢ technology. Through a differentiated mechanism of action, the DPX platform delivers instructions to the immune system and generates a specific, robust and persistent immune response. IMV’s main candidate, maveropepimut-S (MVP-S) provides antigenic peptides of survivin, a well-known cancer antigen. Treatments with MVP-S have demonstrated the activation of a targeted and sustained anti-tumor immune response, correlated with clinical benefit and were well tolerated in all clinical trials. MVP-S is currently being evaluated in clinical trials for cancers of the blood and solid cancers, including diffuse large B-cell lymphoma (DLBCL) as well as ovarian, bladder and breast cancers. breast. IMV is also developing a second immunotherapy based on the DPX immune delivery platform, DPX-SurMAGE. This dual target immunotherapy combines peptides antigenic for survivin and the cancer proteins MAGE-A9 to simultaneously elicit immune responses to these two distinct cancer antigens. A phase 1 clinical trial in bladder cancer will open in early 2022. For more information, visit www.imv-inc.com and connect with us on Twitter and LinkedIn.
About Horizon Technology Finance
Horizon Technology Finance Corporation (NASDAQ: HRZN) is a leading specialty finance company providing capital in the form of secured loans to venture-backed companies in the technology, life sciences, health information and services and sustainable development. Horizon’s investment objective is to maximize the return on its investment portfolio by generating current income from the debt investments it makes and capital appreciation from the warrants it receives. during these debt investments. Horizon is headquartered in Farmington, Connecticut, with a regional office in Pleasanton, California, and investment professionals located in Portland, Maine, Austin, Texas and Reston, Virginia. For more information, please visit www.horizontechfinance.com
IMV’s forward-looking statements
This press release contains forward-looking information under applicable securities laws. All information that deals with activities or developments that we expect to occur in the future is forward-looking information. Forward-looking statements use words such as “will”, “may”, “possible”, “believe”, “expect”, “continue”, “anticipate” and other similar terms. Forward-looking statements are based on the estimates and opinions of management at the date the statements are made. In the press release, these forward-looking statements include, but are not limited to, statements regarding the disbursement of an additional US $ 10 million under the loan facility, the issuance of the second tranche of warrants. subscription, the Company’s ability to advance its development strategy as well as the prospects of its leader in immunotherapy and its other pipeline of immunotherapy candidates. However, they should not be taken as a representation that any of the plans will be realized. Actual results may differ materially from those presented in this press release due to risks affecting the Company, including access to capital, successful design and completion of clinical trials and timely receipt of all approvals. regulatory to begin, and then continue, clinical studies and testing and receipt of all regulatory approvals to market its products. IMV Inc. assumes no responsibility for updating any forward-looking statements in this press release, except as required by law. These forward-looking statements involve known and unknown risks and uncertainties, and these risks and uncertainties include, without limitation, the ability to access capital, the success and, generally, the timely completion of tests. clinical and research studies and the receipt of all regulatory approvals as well as other risks detailed from time to time in our current quarterly filings and annual information form. Investors are cautioned not to rely on these forward-looking statements and are encouraged to read IMV’s continuous disclosure documents, including its current annual information form, as well as its annual audited consolidated financial statements which are available on SEDAR at ‘address www.sedar.com and on EDGAR at www.sec.gov/edgar