GENFIT Announces €185 Million Royalty Financing Agreement

GENFIT, a late-stage biopharmaceutical company, has announced a non-dilutive royalty financing agreement with HealthCare Royalty (HCRx) for up to €185 million. This deal is part of GENFIT's strategy to extend its cash runway beyond 2027 and further develop its ACLF pipeline. The financing comprises an upfront payment of €130 million, with potential for an additional €55 million based on meeting specific milestones.

Under this agreement, HCRx will receive a capped portion of the royalties from global sales of Iqirvo® (elafibranor), a drug developed for Primary Biliary Cholangitis treatment. The remainder of the royalties after the cap will revert to GENFIT. Additionally, GENFIT aims to repurchase outstanding 2025 OCEANE bonds to clear its convertible debt overhang.

This initiative strengthens GENFIT's financial position and its strategic partnership with Ipsen, providing GENFIT with various milestone payments under existing agreements. The financing is contingent on bondholder approval, expected to see completion in early 2025.