Business
Pacira BioSciences Announces Repayment and Termination of Term Loan B Facility Using Proceeds from New $150 Million 5-Year Term Loan A Facility and Existing Cash Resources
– Term Loan A Carries Significantly Lower Interest Rate – – Meaningfully Improves Debt Leverage Ratio and Reaffirms Outlook for Growth -- TAMPA, Fla., April
About this update from Pacira Biosciences, Inc.
[{"type":"text","content":"– Term Loan A Carries Significantly Lower Interest Rate – – Meaningfully Improves Debt Leverage Ratio and Reaffirms Outlook for Growth -- TAMPA, Fla., April 03, 2023 (GLOBE NEWSWIRE) -- Pacira BioSciences, Inc. (Nasdaq: PCRX), the industry leader in its commitment to non-opioid pain management and regenerative health solutions, announced the repayment on March 31, 2023 of $287.5 million in Term Loan B debt, which represented all outstanding principal under the facility, using net proceeds from a new $150 million 5-year Term Loan A Facility and existing cash resources. After the debt repayment, the company expects to finish the first quarter of 2023 with approximately $180 million in cash and investments. “These transactions significantly improve our debt leverage ratio and reaffirm our belief in the strong and growing cash flow of the business,” said Charles Reinhart, chief financial officer of Pacira BioSciences. “Retiring our Term Loan B debt is expected to reduce our 2023 full-year interest expense by at least $15 million as our new Term Loan A debt carries an interest rate that is 400 basis points lower than the Term Loan B debt. Looking ahead, we remain confident in our ability to self-fund our growth and execute our 5-year plan for achieving adjusted EBITDA margins that exceed 50 percent.” The $150 million Term Loan A Facility was placed with high-quality commercial banks. JPMorgan Chase Bank, N.A. acted as Sole Lead Arranger / Bookrunner and Administrative Agent. About Pacira Pacira BioSciences, Inc. (Nasdaq: PCRX) is committed to providing a non-opioid option to as many patients as possible to redefine the role of opioids as rescue therapy only. The company is also developing innovative interventions to address debilitating conditions involving the sympathetic nervous system, such as cardiac electrical storm, chronic pain, and spasticity. Pacira has three commercial-stage non-opioid treatments: EXPAREL® (bupivacaine liposome injectable suspension), a long-acting, local analgesia currently approved for postsurgical pain management; ZILRETTA® (triamcinolone acetonide extended-release injectable suspension), an extended-release, intra-articular, injection indicated for the management of osteoarthritis knee pain; and ioveraº®, a novel, handheld device for delivering immediate, long-acting, drug-free pain control using precis...