Zealand Pharma Amends Financing Agreement With Oberland Capital

Zealand Pharma A/S ZEAL has amended its existing financing agreement with Oberland Capital Management LLC, under which Zealand will repurchase $50 million of note principal with a 1.2x prepayment premium.
Oberland Capital will provide Zealand with up to $75.0 million in incremental capital, of which $50.0 million is to be reserved for M&A and $12.5 million following positive glepaglutide data.
The updated financial agreement provides a runway extended beyond significant pipeline milestones and into 2023.
In March, Zealand Pharma announced prioritizing investment in its R&D pipeline programs and streamlining its commercial operations.
The company said to restructure ops to pursue partnerships for Zegalogue, V-Go, and glepaglutide and dasiglucagon late-stage clinical portfolio.
Zealand completed patient enrollment in the pivotal Phase 3 trial (EASE-SBS 1) of glepaglutide, with full results expected in the third quarter of 2022.
Price Action: ZEAL shares traded 0.84% higher at $10.83 on the last check Tuesday.