Altimmune has drawn an additional $10 million under its loan facility with Hercules Capital after meeting specified clinical and financial milestones. The borrowing increases the company’s debt while extending the period before scheduled principal amortization.
The draw also triggers a minimum-cash requirement tied to the amount outstanding under the loan.
Key details
- New borrowing: Altimmune drew $10 million on Oct. 27 from a $125 million loan facility established in May 2025.
- Repayment timing: The interest-only period and amortization date have both been extended to June 1, 2028.
- Cash requirement: Altimmune must maintain “Qualified Cash” of at least 60% of the outstanding principal balance of its term-loan advances.
- Fees: A 1% tranche fee was deducted from the new funding, or $100,000, leaving approximately $9.9 million before any other costs. The end-of-term charge remains 6.25% of the amounts funded.
What changes
The borrowing adds $10 million of principal to Altimmune’s debt, while the extended interest-only period postpones scheduled principal payments until June 1, 2028. In exchange, the company is subject to a minimum-cash threshold tied to its outstanding term-loan balance.