EMERYVILLE, Calif., July 21, 2022 (GLOBE NEWSWIRE) — Gritstone bio, Inc. (Nasdaq: GRTS), a clinical-stage biotechnology firm that goals to develop the world’s most potent vaccines, at the moment introduced it has entered into an $80 million credit score facility with Hercules Capital, Inc. (NYSE: HTGC) and Silicon Valley Financial institution.

“This non-dilutive facility enhances our monetary flexibility as we enter a interval of a number of potential value-creating milestones for Gritstone,” mentioned Andrew Allen, M.D., Ph.D., Co-founder, President, and Chief Govt Officer of Gritstone. “We anticipate a number of knowledge readouts over the following 18 months, starting with our SLATE-KRAS product candidate later this quarter. We consider our self-amplifying mRNA (samRNA) platform is a lovely asset with nice utility throughout each oncology and a big selection of infectious illnesses. We hope to proceed unlocking its worth in infectious illnesses with knowledge from our CORAL program later this yr. Establishing this facility reduces our dependence on the capital markets and allows us to concentrate on executing towards our scientific, operational, and strategic targets.”

Beneath the phrases of the $80 million credit score facility, $20 million was drawn at closing with a further $10 million out there for drawdown by March 15, 2023. The remaining $50 million turns into out there in tranches by June 15, 2024, upon achievement of sure milestones by Gritstone. Gritstone is beneath no obligation to attract funds sooner or later, and there are not any warrants related to the transaction.

“We’re excited to safe this custom-made credit score facility with favorable phrases amidst the present market setting,” mentioned Celia Economides, Govt Vice President and Chief Monetary Officer of Gritstone. “We consider this $80 million credit score facility displays the numerous worth inherent in our revolutionary platform and, along with capital conservation measures we’ve applied, meaningfully extends our money runway.”

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“Hercules is happy to companion with Gritstone because it advances its scientific stage packages and continues increasing its footprint in infectious illnesses,” said Himani Bhalla, Managing Director at Hercules Capital. “This credit score facility goals to assist Gritstone ship its novel vaccines to enhance affected person outcomes and eradicate illness and is one more instance of Hercules’ capabilities to assist revolutionary growth-stage life science firms,” mentioned Cristy Barnes, Managing Director at Hercules Capital.

“We’re delighted to work with Hercules and assist Gritstone’s continued development and revolutionary platform in growing highly effective vaccines and treating, and stopping, most cancers and infectious illnesses,” mentioned Michael White, Managing Director at Silicon Valley Financial institution.

Capital Advisors Group served as Gritstone’s monetary advisor in reference to the credit score facility.

Extra particulars of the mortgage settlement might be filed with the Securities and Change Fee on a Present Report on Kind 8-Okay.

About Gritstone bio
Gritstone bio, Inc. (Nasdaq: GRTS) is a clinical-stage biotechnology firm that goals to create the world’s most potent vaccines. We leverage our revolutionary vectors and payloads to coach a number of arms of the immune system to assault crucial illness targets. Independently and with our collaborators, we’re advancing a portfolio of product candidates to deal with and forestall viral illnesses and stable tumors in pursuit of enhancing affected person outcomes and eliminating illness. www.gritstonebio.com

Gritstone Ahead-Wanting Statements
This press launch accommodates forward-looking statements, together with, however not restricted to, statements associated to the potential of Gritstone’s therapeutic packages; the developments within the firm’s ongoing scientific trials; the timing of knowledge bulletins associated to ongoing scientific trials and the initiation of future scientific trials. Such forward-looking statements contain substantial dangers and uncertainties that would trigger Gritstone’s analysis and scientific growth packages, future outcomes, efficiency or achievements to vary considerably from these expressed or implied by the forward-looking statements. Such dangers and uncertainties embody, amongst others, the uncertainties inherent within the drug growth course of, together with Gritstone’s packages’ scientific stage of growth, the method of designing and conducting preclinical and scientific trials, the regulatory approval processes, the timing of regulatory filings, the challenges related to manufacturing drug merchandise, Gritstone’s means to efficiently set up, defend and defend its mental property and different issues that would have an effect on the sufficiency of present money to fund operations. Gritstone undertakes no obligation to replace or revise any forward-looking statements. For an extra description of the dangers and uncertainties that would trigger precise outcomes to vary from these expressed in these forward-looking statements, in addition to dangers regarding the enterprise of the corporate on the whole, see Gritstone’s most up-to-date Quarterly Report on Kind 10-Q filed on Might 5, 2022 and any present and periodic stories filed with the Securities and Change Fee.

Gritstone Contacts
Media:
Ashlea Kosikowski
1AB
ashlea@1abmedia.com

Buyers:
George E. MacDougall
Director, Investor Relations & Company Communications
Gritstone bio
Ir@gritstone.com