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BELLUS Health announces sale of ABCP Notes and settlement of credit facilities
- Increases Company's cash position and eliminates bank indebtedness - LAVAL, QC , Nov...
About this update from Bluenergies Ltd.
[{"type":"text","content":"\n\n- Increases Company's cash position and eliminates bank indebtedness -\n\n\n\nLAVAL, QC, Nov. 26, 2014 /CNW/ - BELLUS Health Inc. (TSX: BLU) (\"BELLUS Health\" or the \"Company\"), a drug development company focused on rare diseases, today announced the sale of its ABCP Notes and settlement of its credit facilities. \n\nThe Company sold all of its asset-backed commercial paper notes (\"ABCP Notes\") for a total consideration of $5.3 million and used the proceeds thereof to settle its credit facilities, which were scheduled to mature in April 2016. Net cash generated from these transactions amounted to $150,000.\n\nEarly settlement of its credit facilities will enable the Company to save approximately $150,000 in future interest payments, and fully eliminates its bank indebtedness. The sale of ABCP Notes also eliminates the market risk associated with these assets. \n\n\"These transactions simplify the Company's balance sheet and will also enable the Company to add approximately $300,000 to its cash runway\" said Roberto Bellini, President and Chief Executive Officer of BELLUS Health.\n\nThe Company's cash position, which amounted to $12.7 million as at September 30, 2014, should enable the Company to finance its operations beyond the end of the KIACTA™ Phase III Confirmatory Study, expected to conclude in 2016.\n\nAbout BELLUS Health (www.bellushealth.com) \n\nBELLUS Health is a drug development company focused on rare diseases. It has a portfolio of rare disease assets including KIACTA™ in Phase III for AA amyloidosis, KIACTA™ for sarcoidosis, clinical stage ShigamabTM for sHUS and a research-stage project for AL amyloidosis. The lead program KIACTA™ is currently in a Phase III Confirmatory Study for the treatment of AA amyloidosis, an orphan indication resulting in renal dysfunction that often leads to dialysis and death. KIACTA™ is partnered with global private equity firm Auven Therapeutics.\n\nForward Looking Statements \n\nCertain statements contained in this news release, other than statements of fact that are independently verifiable at the date hereof, may constitute forward-looking statements.  Such statements, based as they are on the current expectations of management, inherently involve numerous risks and uncertainties, known and unknown, many of which are beyond BELL...