Nanobiotix Restructures Loan Agreement With European Investment Bank

Nanobiotix, a late-stage clinical biotechnology company, has executed a definitive agreement with the European Investment Bank (EIB) to restructure approximately €30.7 million in outstanding debt obligations. This agreement, building on a September 2022 agreement in principle, aims to realign the company's debt repayment schedule with its anticipated development and commercialization timelines.

The original financing and royalty agreement, established in July 2018, included an initial tranche of €16 million and a subsequent tranche of €14 million. The new restructuring agreement defers the repayment of the remaining €25.3 million in principal for both tranches until June 2029. Additionally, €5.4 million in accrued interest on the first tranche will be converted into a payment-in-kind (PIK) and deferred until October 2024.

Under the revised terms, principal from the first tranche will accrue interest at 6% annually, capitalized and due at maturity. Interest on the remaining €9.3 million of the second tranche will continue at a 5% fixed rate, paid semi-annually through June 2029. The company has also agreed to maintain a minimum cash balance equal to the outstanding principal owed to the EIB.

The restructuring also introduces a new €20 million milestone payment due in June 2029. However, the agreement includes provisions that would accelerate repayment if Nanobiotix achieves commercial revenue before June 2029. Such events would trigger earlier maturity dates for the loan principal, interest, and the milestone payment, contingent on the timing of commercialization.