BIND Therapeutics has announced an agreement has been reached with its secured lender Hercules Technology III, L.P., an affiliate of Hercules Capital, for the use of cash collateral through July 8, 2016 subject to certain agreed upon terms and conditions. As part of the agreement negotiated under BIND’s voluntary chapter 11 filing, the Company has agreed, among other things, to pay-down $4 million in principal on the existing principal loan balance of approximately $12.4 million.
“I am pleased that we were able to reach a mutual agreement with Hercules Capital that enables BIND to continue operations and continue exploring financial and strategic alternatives” said Andrew Hirsch, BIND's president and chief executive officer. “Since our restructuring on April 6th, we have been actively evaluating avenues to raise additional capital, including through the capital markets, a strategic collaboration with one or more parties, or the license, sale or divestiture of some of our proprietary technologies, including a sale of the company. We appreciate Hercules’ continued willingness to work in partnership towards a mutually acceptable agreement which culminated in today's agreement.”
“BIND Therapeutics has been a portfolio company of Hercules since 2010,” said Scott Bluestein, Hercules Chief Investment Officer. “Over the last several weeks, both pre and post petition, we worked tirelessly towards a resolution that would be mutually acceptable and allow the Company to drive towards its stated goal of exploring strategic alternatives following its April 6th announcement. We are thankful that the parties were able to reach agreement and look forward to what we hope to be the successful conclusion to the strategic process that is now underway.”