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Post by kite on Dec 1, 2020 8:01:35 GMT -5
www.globenewswire.com/news-release/2020/12/01/2137408/0/en/MannKind-and-MidCap-Amend-Credit-Facility.htmlMannKind and MidCap Amend Credit Facility $10 million funded immediately $25 million available upon TreT FDA approval Interest-only period extended to September 2022 WESTLAKE VILLAGE, Calif., Dec. 01, 2020 (GLOBE NEWSWIRE) -- MannKind Corporation (Nasdaq: MNKD) today announced that it and MidCap Financial Trust, as agent, have entered into an amendment to the credit and security agreement dated August 6, 2019 (the “MidCap Credit Facility”). “We appreciate the unwavering financial support and partnership from MidCap as we progress our three most important business objectives – growing Afrezza to become the standard of care for mealtime insulin, working with our collaboration partner, United Therapeutics, to move Treprostinil Technosphere (TreT) toward an NDA submission with the FDA, and developing our pipeline,” said Michael Castagna, CEO of MannKind. The amendment to the MidCap Credit Facility provides that: (i) Tranche 2 of $10.0 million is made available to the Company and is scheduled to be funded on December 1, 2020, (ii) Tranche 3 of $25.0 million is available to the Company upon the satisfaction of certain conditions, including FDA approval of TreT, (iii) modifications to the financial covenant relating to trailing twelve month minimum Afrezza Net Revenue requirements, (iv) an additional covenant that requires the marketing of TreT if Tranche 3 is funded, (v) an extension of the interest-only period until September 1, 2022 (vi) the minimum cash covenant is increased to $30.0 million at all times, and (vii) amendments to the prepayment fees.
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Post by winner on Dec 1, 2020 8:10:30 GMT -5
Excuse my ignorance Kite! As a layman is this good news for MannKind?
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Post by peppy on Dec 1, 2020 8:18:19 GMT -5
www.globenewswire.com/news-release/2020/12/01/2137408/0/en/MannKind-and-MidCap-Amend-Credit-Facility.htmlMannKind and MidCap Amend Credit Facility $10 million funded immediately $25 million available upon TreT FDA approval Interest-only period extended to September 2022 WESTLAKE VILLAGE, Calif., Dec. 01, 2020 (GLOBE NEWSWIRE) -- MannKind Corporation (Nasdaq: MNKD) today announced that it and MidCap Financial Trust, as agent, have entered into an amendment to the credit and security agreement dated August 6, 2019 (the “MidCap Credit Facility”). “We appreciate the unwavering financial support and partnership from MidCap as we progress our three most important business objectives – growing Afrezza to become the standard of care for mealtime insulin, working with our collaboration partner, United Therapeutics, to move Treprostinil Technosphere (TreT) toward an NDA submission with the FDA, and developing our pipeline,” said Michael Castagna, CEO of MannKind. The amendment to the MidCap Credit Facility provides that: (i) Tranche 2 of $10.0 million is made available to the Company and is scheduled to be funded on December 1, 2020, (ii) Tranche 3 of $25.0 million is available to the Company upon the satisfaction of certain conditions, including FDA approval of TreT, (iii) modifications to the financial covenant relating to trailing twelve month minimum Afrezza Net Revenue requirements, (iv) an additional covenant that requires the marketing of TreT if Tranche 3 is funded, (v) an extension of the interest-only period until September 1, 2022 (vi) the minimum cash covenant is increased to $30.0 million at all times, and (vii) amendments to the prepayment fees. From what I can tell this has been done. The differences between real time shares and summary volume, the people that know have typed the ATM used. Mission accomplished, clear sailing. ? |
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Post by mango on Dec 1, 2020 8:37:01 GMT -5
I used to think that UT would wait until FDA approval of TreT before initiation of the second molecule, perhaps even a third. Now, I believe it will happen before FDA approval of TreT. There’s no reason FDA will not grant approval as long as TreT Phase 3 is positive. I believe we will hit the primary endpoint, as well as, all 5 secondaries.
I’m thinking beyond the Tadalafil for PDE5 inhibitor, we will see the Samumed molecule that was specifically designed for inhalation for Idiopathic pulmonary fibrosis.
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Post by dh4mizzou on Dec 1, 2020 8:42:05 GMT -5
Anyone know what the 'modifications' may be? Lowered minimum?
"...... (iii) modifications to the financial covenant relating to trailing twelve month minimum Afrezza Net Revenue requirements ......"
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Post by peppy on Dec 1, 2020 8:48:30 GMT -5
I used to think that UT would wait until FDA approval of TreT before initiation of the second molecule, perhaps even a third. Now, I believe it will happen before FDA approval of TreT. There’s no reason FDA will not grant approval as long as TreT Phase 3 is positive. I believe we will hit the primary endpoint, as well as, all 5 secondaries. I’m thinking beyond the Tadalafil for PDE5 inhibitor, we will see the Samumed molecule that was specifically designed for inhalation for Idiopathic pulmonary fibrosis. Away from UT, it gets better than this. The mRNA vaccine, is effective against viruses. There are a few virus out there that could be targeted. They will need a delivery system that can be on the pharmacy shelves. And we all know this. Kowtow, kawabanga. |
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Post by hellodolly on Dec 1, 2020 8:57:12 GMT -5
I used to think that UT would wait until FDA approval of TreT before initiation of the second molecule, perhaps even a third. Now, I believe it will happen before FDA approval of TreT. There’s no reason FDA will not grant approval as long as TreT Phase 3 is positive. I believe we will hit the primary endpoint, as well as, all 5 secondaries. I’m thinking beyond the Tadalafil for PDE5 inhibitor, we will see the Samumed molecule that was specifically designed for inhalation for Idiopathic pulmonary fibrosis. Away from UT, it gets better than this. The mRNA vaccine, is effective against viruses. There are a few virus out there that could be targeted. They will need a delivery system that can be on the pharmacy shelves. And we all know this. Kowtow, kawabanga. Yes, as we know the 'lipid nano-particle' in the mRNA vaccines, that encases the mRNA strand, is causing all of the side affects, some grade 3 levels being reported. Can they isolate the very fragile 'single mRNA strand' using MNKD manufacturing, like they do for Afrezza's molecular profile? |
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Post by matt on Dec 1, 2020 9:02:15 GMT -5
Anyone know what the 'modifications' may be? Lowered minimum? "...... (iii) modifications to the financial covenant relating to trailing twelve month minimum Afrezza Net Revenue requirements ......" Yes, the minimums have been lowered significantly and future growth has been reduced as well. The details can be found in the 8K filed on EDGAR. The previous minimums looked unachievable from the start, requiring hockey stick growth intervals, while the new minimums look reasonably achievable. There has been a lot of water under the bridge since the original credit facility was set up, including a certain virus we all know about, and these changes simply reflect the reality of the situation. Lenders never want to put a company in default if they can avoid it because it is usually not in their best interest. |
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Post by Deleted on Dec 1, 2020 9:20:26 GMT -5
Away from UT, it gets better than this. The mRNA vaccine, is effective against viruses. There are a few virus out there that could be targeted. They will need a delivery system that can be on the pharmacy shelves. And we all know this. Kowtow, kawabanga. Yes, as we know the 'lipid nano-particle' in the mRNA vaccines, that encases the mRNA strand, is causing all of the side affects, some grade 3 levels being reported. Can they isolate the very fragile 'single mRNA strand' using MNKD manufacturing, like they do for Afrezza's molecular profile? The "lipid nano-particle" is a FAT MOLECULE...... I heard one of the doctors describe it as Fat and the MRNA Strand is inside. Moderna's vaccine does not need the LOW Temp unlike the Pfizer vaccine. |
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Post by peppy on Dec 1, 2020 9:22:31 GMT -5
Yes, as we know the 'lipid nano-particle' in the mRNA vaccines, that encases the mRNA strand, is causing all of the side affects, some grade 3 levels being reported. Can they isolate the very fragile 'single mRNA strand' using MNKD manufacturing, like they do for Afrezza's molecular profile? The "lipid nano-particle" is a FAT MOLECULE...... I heard one of the doctors describe it as Fat and the MRNA Strand is inside. Moderna's vaccine does not need the LOW Temp unlike the Pfizer vaccine. it does, just not as low. Supposedly. |
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Post by peppy on Dec 1, 2020 9:28:42 GMT -5
Yes, as we know the 'lipid nano-particle' in the mRNA vaccines, that encases the mRNA strand, is causing all of the side affects, some grade 3 levels being reported. Can they isolate the very fragile 'single mRNA strand' using MNKD manufacturing, like they do for Afrezza's molecular profile? The "lipid nano-particle" is a FAT MOLECULE...... I heard one of the doctors describe it as Fat and the MRNA Strand is inside. Moderna's vaccine does not need the LOW Temp unlike the Pfizer vaccine. I believe both Moderna and Pfizer are using a lipid molecule to hold the mRNA strand and get it into the cell cytoplasm. The difference with the mRNA vaccine, is all the work is done in the cytoplasm, it does not need to enter the cell nucleus. (Astracenca, their vaccine needs in the nucleus and back out into the cytoplasm for the work, their vaccine is a DNA vaccine.) If I had my screen capture I would capture it for you. youtu.be/GOq8-FR8s1E |
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Post by cjm18 on Dec 1, 2020 9:55:53 GMT -5
53m at 3q end
Subtract 9 for q4 burn
Add 10 from mid cap
Add 12.5 uhtr milestone.
66.5m in the bank as of 1/1/21.
30m covenant.
36.5m available as of 1/1/21.
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Post by akemp3000 on Dec 1, 2020 10:20:41 GMT -5
It appears this should end speculation that a December dilution might occur. Not saying it won't just that the odds have now moved it off the radar. Disagreements with an explanation are certainly welcome.
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Post by castlerockchris on Dec 1, 2020 10:51:12 GMT -5
It appears this should end speculation that a December dilution might occur. Not saying it won't just that the odds have now moved it off the radar. Disagreements with an explanation are certainly welcome. Agreed. Couple this with the recent milestone payment and we should be set for much of 2021. I do anticipate some capital spend on plant & equipment to get us moving down the TreT manufacturing road, but that will be a good thing when it happens. Now let's find a couple of additional molecules to be working on that bring upfront and milestone payments (25 million per year each) and we can stop worrying about dilution and selling assets. I am a big fan of OPM and leverage for companies like MNKD. If we hit $5 - 6 share price with additional molecule development we can sit down with lenders and have serious discussions about lowering our cost of capital, and begin to use the ATM and lower cost capital to take out Mid-Cap. Any future lending at lower rates will require proof of conviction and let lenders know there is something backing up the notes other than bad projections on future revenue - hence the limited taping of the ATM paired with debt restructuring. Late 2021 early to mid 2022 is my time frame on that strategy. |
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Post by casualinvestor on Dec 1, 2020 11:03:35 GMT -5
What does this do to the Danbury sale-leaseback? I'd guess that's off the table, and the option was just being explored to pressure Midcap
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