ImmunoGen to get nearly $175m financing from Pharmakon Advisors

ImmunoGen, a US-based biotechnology company, will receive a non-dilutive term loan financing facility for up to $175 million from entities managed by Pharmakon Advisors.

The proceeds, which will be available in two tranches, are anticipated to help ImmunoGen scale its growth trajectory in cancer space.

The biotechnology company will receive the first tranche of $75 million upon execution of the agreement. It will be followed by the second tranche of $50 million at the company’s option upon releasing positive top-line data from its confirmatory MIRASOL trial and a net sales threshold for Elahere (mirvetuximab soravtansine-gynx).

In November 2022, Elahere was granted accelerated approval by the US Food and Drug Administration (FDA) for the treatment of patients with platinum-resistant ovarian cancer.

The second tranche may be increased to $100 million upon mutual agreement of the parties.

Mark Enyedy — ImmunoGen President and CEO said: “Our agreement with Pharmakon strengthens our financial position as we execute against our strategic priorities, including accelerating the launch of ELAHERE and investing in our pipeline of next-generation ADCs.

“Pharmakon is a well-respected partner to innovative biotechnology companies, and we look forward to utilizing the non-dilutive capital from this agreement to advance the business and drive value for our shareholders as a commercial oncology company.”

Martin Friedman — Pharmakon Advisors Managing Member said: “We are pleased to support ImmunoGen and this investment illustrates our confidence in the Company’s ability to successfully commercialize ELAHERE while progressing the development of its earlier-stage assets and delivering on its mission to offer more good days to patients.”

Goldman Sachs & Co. acted served as financial advisor to ImmunoGen in connection with the transaction.

ImmunoGen is focused on developing the next generation antibody-drug conjugate (ADC) technology to treat cancer.

Established in 2009, Pharmakon Advisors is an investor in non-dilutive debt for the life sciences industry and is the investment manager of the BioPharma Credit funds.